10 Steps Leading to Your First Home
1. The first step you need to take is to determine what you can afford. Work with a lender and get the true amount of a possible loan. A general guideline can be a home that is 2-3 times your annual income.
2. What is most important to you in a first home. Make a list and then prioritize your criteria as a guide.
3. Where you live is going to be important for schools and location to your work. Select a couple of neighborhoods that you prefer and go some research. What amenities are in the neighborhood or the surrounding area. Do you have recreational facilities? Do you know about that new road being constructed nearby?
4. Don't be caught short on cash. It takes additional monies for your taxes, fees, etc. and after your downpayment you need to consider all the possibilities of closing costs. Save up a little nest egg for surprises. You don't want to derail your dream.
5. Monitor your credit score. All three companies will have information on you. Keep it current and don't make any major purchases from the time you apply for a loan and you close on the property.
6. Talk to your lender about the most current options in the mortgage industry. Get a pre-qualified letter for starters, but a pre-approved letter from the lender is a stronger indication of your situation and how much of a mortgage you'll be able to secure.
7. Before applying for a loan, get all documents needed for the mortgage loan application. Be prepared.
8. There are many local, state and federal assistance and grant programs available to the first time home buyer such as The Nehemiah program and the American Dream Downpayment Fund. Do your research to see if you can apply for one of these special programs or help in your downpayment.
9. When budgeting for your total monthly housing cost, be sure to include your neighborhood association fees, general costs to fix and maintain your home, any assessments due and of course insurance and property taxes. In addition, you should figure approximate costs for your telephone, cable, water/sewer and electricity.
10. Your going to need help navigating through the maze of homes, neighborhoods, fees, documents and legal responsibilities with your home. Make life easier for yourself and team up with a professional Realtor®. If your looking for a home in the Naples real estate market than contact Ruth Bethem toll free at 877-777-7545 or drop her an email at Ruth@RuthBethem.com. With no stress and no surprises, Ruth can walk you through your transaction and offer you a positive experience.
RUTH BETHEM, ABR, CRS, GRI, Realtor®