First Time Homebuyer Do’s & Don’ts
As a first time home buyer, it can be easy to make big mistakes that could impact your ability to buy a home.
Buying a home can be stressful as there is a lot of paperwork and decisions to be made. Here is a checklist to get you started in the process!
Before buying a home, it’s important to know what to expect so you can accurately plan. Here are some first time homebuyer do’s and don’ts to remember as you begin your home buying journey:
–Do make a down payment plan. Remember many loans require 20% down. Start saving early!
–Do ask questions. As your REALTOR ® , I am here to answer your questions and give you advice on how to make this a smooth process.
-Do get pre-approved for a loan. Sometimes what you know you can afford doesn’t match what your lender is willing to give you. Know what you can realistically do before you make an offer.
–Do budget for: monthly mortgage, closing costs, property taxes and home insurance
–Do protect yourself with inspections and a contingency clause. A full inspection of the home will find the deeper issues of the home if there are any. Also, having a contingency clause set up could protect you if you lose your job or if your loan falls through.
–Don’t buy a home that exactly fits your budget, leaving no room to save money. Each new home will have extra expenses down the road. Budget continual savings for maintenance, repairs or new appliances.
–Don’t let each lender you visit pull your credit. Each time a new lender pulls your credit score, it brings your credit down. Decide which lender you like best and then let them pull your credit.
–Don’t make a big purchase before you close on your home. Three days before your closing date, your lender will pull your credit. If you buy something large, it can impact your loan or assistance if your credit score changes dramatically. Wait until you close before going on your shopping spree for furniture or a new car.
There are many steps to buying a home, but it can still be a fun and exciting experience! Contact me with any questions and let’s find you the right piece of real estate in Paducah, KY or the surrounding area.