When starting out on your journey to homeownership, you want to consider local and national homebuyer assistance programs.
There are a variety of state housing authorities out there who combine favorable interest rates and payment grants, as well as federal tax breaks. These first-time home buyer assistance programs are known for aiding prospective home buyers to give them better shots at owning homes in certain areas.
Many of these programs also help borrowers that work in certain fields, such as first responders, educators, active-duty military, or veterans.
As you know already, buying a home is quite a big deal. If you’re feeling overwhelmed at the moment, don’t worry. We’ve all been there at one point. Here are some important questions that we are often asked when working with first-time home buyers.
How Much Home Can I Afford?
This is one of the first questions that we often get from first-time home buyers, though there are many different variables to determine a mortgage payment that is reasonable. These variables include:
- Annual income
- Existing debt payments
- Down payment
- Homeowner’s insurance
- Housing association fees
What Is The Right Type of Loan For Me?
There are a wide variety of financing options out there, though it is important to note that each one of these is extremely unique. If you have good credit and enough cash to make a down payment, you might consider going with a conventional loan.
If you don’t have very good credit or you don’t have a ton of money to put down on a home, you might want to consider going with an FHA loan.
Of course, if you’re an active-duty military member or a veteran you might consider all of the benefits of a VA loan.
One of the first steps in the process of securing a loan is getting preapproved. You have to go through the prequalification process. This is where you sit down with a mortgage broker Denver Colorado and they assess your financial situation to determine the type of loan you can qualify for.
The loan officer will then submit your completed loan application to be approved by the lender.
Finding the Right Home
You’ll want to start by finding the right real estate agent once you have been approved for your loan. The agent should be skilled and motivated, as well as knowledgeable about the area you are looking for a home in.
Of course, it is also important that YOU do your research to make sure that you have a good idea about the area that you are shopping for a home in as well. Make sure that you are sticking to your budget. Remember that you’re preapproval amount is the ceiling, which doesn’t account for other monthly expenses you will inevitably incur.
Once you are ready to begin the process of finding the mortgage lender, make sure to get in contact with us here at NESWork. Our job is to make sure that our clients feel comfortable and confident throughout the mortgage process!