Tips for a First-Time buyers

Owning a home is the quintessential American dream. It is also the largest financial investment most of us will ever make, so you will want to be the most knowledgeable you can possibly be. In this article, I will lay out some basic home-owning insight to ease your buying process.

The first thing you’ll need, and this might seem pretty obvious, is to earn enough money to make monthly mortgage payments. If a mortgage payment will bust your budget, you unfortunately can’t get rid of your landlord yet. Use a online mortgage calculator to estimate your monthly payment.

The next payment to consider is property taxes and homeowner’s insurance. The mortgage isn’t the only cost you’ll have each month. You also have to pay taxes and insurance on the home you are buying.

One of the first things you’ll want to do after an offer is accepted is have a home inspector look at the property. If the home inspector finds something that needs repair, that’s a common example of something that can delay closing.

Once you are living in your new home you must have the ability and time to maintain the property. You must keep a home in good repair or it will eventually lose value and you’ll lose money. You can do the work yourself or hire it out. Either way, you can’t ignore the leaky faucet and peeling paint. Ultimately, the more money and time you put into your home the more return you will see.

When you are buying a home you really need a decent credit record. If you have lots of late payments, have declared bankruptcy or left old debts unpaid, it can be much harder to get a mortgage. If you do happen to buy a home, your bad credit record will make you pay a much higher interest rate.

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