First-Time Home Buyer Tips 2018
The process of buying your first home is always a challenge however, it’s particularly difficult in the year 2018. The supply of homes available that are available for sale has been decreasing steadily over the past two years in a row, the longest run for nearly two decades. Prices are continuing to rise, and the competition for homes with lower prices is more intense than ever before. For the best chance of buying your first house this year, follow these five steps.
- Save Up for Your Down Payment, Starting Now
When you’ve decided to purchase a house you should begin saving for your downpayment. Put aside every dollar you can, including huge sums like tax refunds and holiday bonuses. The typical first-time home buyer down amount is 20 percent. Even if you are unable to save that amount some first-time home buyers programs permit a down payment as low as 3 percent.
- Estimate Your Mortgage Payment
Before you decide to purchase an apartment, determine the exact amount of home you are able to afford to purchase. Utilize online calculators for affordability to determine how much you’ll be able to invest. Also, look at rates offered by different lenders to ensure you get the best conditions.
- Check Your Credit Reports
The golden age of subprime loans has passed. To get a mortgage, you must have a solid credit score. However, having a credit score doesn’t suffice. It is also important to review the credit report. If you discover any discrepancies you should contest them. To increase your score, put off from opening new accounts and then make sure to settle the maximum amount of debt you can.
- Think About What Type of Home Suits You Best
While most buyers are looking for homes that are single-family It is worthwhile to look at other options. Townhomes and condos are smaller in space, but have less need for maintenance. A few attached homes also provide additional amenities that are not available for the average homeowner. When you are considering an offer for townhouses or condos make sure you check HOA regulations, particularly when you have pets or children.
- Don’t Forget About Insurance and Closing Costs
When you purchase a home it will cost more than the purchase cost. Costs for closing can comprise property taxes, title insurance transfer taxes HOA costs, fees for escrow fees legal fees, other costs. They usually range from 2 percent up to five percent of purchase cost. If a home is valued at $275,000, the median closing costs can be as high as $13,000. Make sure to save an extra amount to cover these additional expenses. Looking to sell your house fast for cash? We beat the other guys’ offers Get an Information.
Now Is the Time to Buy Your First Home
If you’re a first-time homeowner this year, you will face an uphill climb. The affordable homes are rare and scarce and prices are increasing, and homes are selling more quickly than they have ever. If there’s a bright aspect, it’s now the perfect time to buy and get your home before the market gets any tighter. Use these five suggestions this year and you’ll locate the perfect house for your first.
