Buying your first home can be a daunting process. But, there is no need to worry! Luckily, there is a great deal of resources available that make buying a home much easier. Here are a few recommendations for individuals buying a home for the first time:
- Compare, compare, compare! You can use online websites like Zillow or Homegain to check out numerous listings at once, and find out what the current prices are like.
- Use a mortgage calculator to determine how much you can afford.
- Determine how much you will be spending each month for housing by adding in homeowners insurance and taxes. You can call a local insurance agent to get an estimated homeowners insurance rate.
- Don’t forget about closing costs! Origination fees and settlement fees can add up! Make sure you remember to factor them into your monthly housing costs.
- You shouldn’t spend more than 28% of your income on your monthly housing costs. Review your budget, and make sure you have room for an expense like that.
- Speak with a trustworthy real estate agent who can provide you with information regarding whether the current market is a buyers’ market or a sellers’ market.
Follow these simple guidelines, and you’ll be able to more accurately decide whether you are ready to purchase your first home.