Top 5 Tips for First-Time Home Buyers

You’ve decided to purchase your first home. Congratulations! At GVC Mortgage, we understand how big this step can be, and we love to help our first-time home buyers in their journey toward homeownership. Here are a few of the top tips we give our new clients looking to purchase a home in the Carmel, Fishers, or greater Indianapolis area.

1. Get preapproved.

You want to start searching for homes. We get it. That’s the fun part! But first, get preapproved with a mortgage lender. Doing so can help you know how much home you can afford and give you an edge when submitting an offer on a home.

2. Make your must-haves list.

Before you start your search, make a list of nonnegotiable features. Note that your nonnegotiable list will be different than your “wants.” Your nonnegotiables are your needs. For example, you may “want” hardwood flooring, but you “need” at least three bedrooms for your growing family. You can always add hardwoods later. Your nonnegotiable list will give your realtor a benchmark for searching for homes. Note that you can still pass along your “wants” list, but remember that you may not be able to get everything depending on your budget.

3. Talk to your mortgage broker about the “other” costs.

Many first-time home buyers don’t realize the other costs involved in the purchasing process. Be sure to sit down with a qualified home loan professional who can tell you about costs like earnest money, closing costs, title fees, down payments, private mortgage insurance, and any other financial considerations. That way, you’re not caught off guard when it comes time to sign a purchase agreement.

4. Don’t jump the gun.

If you live in a competitive real estate market, you may be tempted to put an offer on a home before you’re ready. Make sure you really want a home before you submit an offer. If your offer is accepted, it’s a legal contract to which you’re bound and cannot get out of without losing money.

5. Compare home loan rates.

Many home buyers don’t realize that they can shop around for the best deal on a mortgage, even after getting preapproved. We recommend that you look at multiple lenders as well as loan types (FHA, conventional, etc.) to determine what’s best for your financial situation.

If you need help with your preapproval process or want to explore your mortgage options, contact GVC Mortgage at (317) 564-4906. Our team of home loan professionals serves first-time home buyers just like you every day. Our office is convenient for anyone in the Carmel, Fishers, or greater Indianapolis area. Get one step closer to homeownership by calling us today.

 

Sources:

Bell, Claes. “11 must-dos for the first-time homebuyer.” Web article. Bankrate.com. 14 September. 2017. Web. 23 September. 2017.

Photo credit:

public domain via pixabay