First Time Home Buyers

Are you a first-time home buyer eager to get into the market? Here are steps to take to help you decide whether you're ready to take the plunge.

 

1. The first thing you should do is to get pre qualified by a bank. I recommend going to a major bank. A pre qual letter from a major bank will add credibility at the time of presenting an offer.

2. Check the selling prices of comparable homes in your area.

3. Find out what your total monthly housing cost would be, including taxes and homeowners insurance. To get a feel for the maximum amount you should spend, including taxes and insurance.

4. Find out how much you'll likely pay in closing costs. The upfront cost of settling on your home shouldn't be overlooked. Closing costs include origination fees charged by the lender, title and settlement fees, taxes and prepaid items such as homeowners insurance or homeowners association fees.

5. Look at your budget and determine how a house fits into it. Fannie Mae recommends that buyers spend no more than 28% of their income on housing costs. Go much past 30% and you risk becoming house poor.

6. Remember to look at the big picture. While buying a house is a great way to build wealth, maintaining your investment can be labor-intensive and expensive. When unexpected costs for new appliances, roof repairs and plumbing problems crop up, there's no landlord to turn to, and these costs can drain your bank account.So consider whether you're ready for the expense and effort of homeownership before pulling the trigger.

Freddie Santiago, CDPE , Realtor
Yes Real Estate
8125 SW 120th St
Pinecrest, FL 33156

305-968-0039
305-675-2340
freddiesantiago12@gmail.com

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