Easy Tips for First Time Home Buyers in MA
As a child, we all dream of having our own larger than life home. When those childhood dreams come into reality, we feel accomplished. However, happiness comes in all sizes, so are homes. It can be a large bungalow or a flat. Whatever the case is, the feeling is special. The process of owning a home can be tricky for first time home buyers. Right from finding a perfect home that fits your requirements and budget to rushing to the banks for loans and legal documentation work is a hectic process. There are many first time home buyer programs MA to start exploring mortgage options. However, you must go step by step for a home purchase.
A newbie can get confused and miss out on essential documents required for the home, in the long run. Are you worried about it already? Relax, we have some pro-tips to give you.
Tips for First Time Home Buyers
Be Down Payment ready
When you purchase a home, loans are always an option. However, you need to break the amount in down payment and loan amount. The common practice of 20% down payment and 80% is now vanishing. People often give the lowest 3% of the total amount as a down payment. The loan mortgage options make home-buying easy. Try to save the downpayment amount in advance. Don’t wait till you sign the property papers for saving down payment sum. Start saving early.
Set Budget before searching
Yes, this is the golden rule. It would be best to determine how much you can afford to spend on a home, including monthly EMIs. There is no point to overburden or exhaust all your resources today to think about the future. You will most likely face financial problems if you over budget your monthly EMI as well. Specify your budget and requirement. Be positive; you will find many options to choose your perfect home.
Hire a Real Estate Agent
Many times people like to skip this step. Giving an agent his fees feels like an extra expense. However, it is crucial to have a middle man to work for you. A first time home buyer can be as aware of formalities documentation etc. Still, an agent works on the practical ground. They know how to deal with officials, get you a perfect loan, and of course, they know better property options and deals than you. Don’t underestimate their services when buying a home for the first time. Hire a trustworthy agent/advisor. You will never regret this decision.
Maintain good Credit Score
Drew Mortgage always puts light on the importance of maintaining a good credit score for easy loan mortgage approvals. It helps in determining the interest rates and loan terms in many cases. Half of the homebuyers fail in keeping the credit score high. So be prepared when you finally step in for the home buying process. Various loan mortgages have different credit score criteria. Make sure you maintain a decent credit score before purchasing a home. Also, cut off the big transaction while the home buying process is on.
Save money for shifting
We can understand what a roller-coaster kind of ride home buying for the first time feels. You exhaust all your patience, finances in purchasing your dream home. However, if you still worked hard to shift in the new home finally. Keep some money saved for shifting and unique home decor expenses. As your loan mortgage often don’t cover these expenses, you need to be ready with some instant cash/payment to the movers and packers. Be prepared for it in advance.
Check all the mortgage options
There are many mortgage options available for a home purchase. Your property agent will introduce you to the most suitable options based on your finances. Make sure you understand all the mortgage options clearly before taking the final call. It is a very high involvement decision. Take your time, reanalyze your finances, consult various Massachusetts mortgage companies, ask if they can elaborate more on a specific mortgage plan, and more. Having a second opinion is always right. Take decision once you are 100% confident about the EMI plans, down payments, terms, etc. Make the best choice.