BUYING A HOUSE
Many people think that buying a house is a lot to ask for, especially if you are a first-time home buyer. However, if you set your expectations before buying a house, do your homework properly, and find the right realtor and mortgage lender, the home-buying process could be less stressful or confusing. According to the National Association of REALTORS®, only 10% of new home buyers buy a home with cash. Most of the new home buyers have to borrow some money through financial institutions to purchase their new homes.
The key to becoming a smart new home buyer is knowledge. It could be a lot less stressful and intimidating if you have the right information and knowledge about buying a house. If you are a first-time homebuyer, you might have to be a little more observant and try to get as much information as you can. There are many programs for first-time home buyers that might help them to get a mortgage with minimum down payments.
THE PROCESS OF BUYING A HOUSE
In today’s world, being a homeowner is one of the most rewarding feelings that one could have. If you are a first-time new home buyer, it is very important to know the process of buying a house. The first thing that an individual needs to do is find a trusted licensed realtor who has adequate knowledge and experience of real estate in the area where you are buying a house. Looking at the realtor’s profile and reviews may help to find the right one.
Once you finalize on a realtor, it’s time to finalize a mortgage lender or a mortgage broker who will provide you with a pre-approval letter. Once you receive the pre-approval, you can make an offer on the property that you like and finally sign the sales contract. The financial institute, like a broker or a lender, will help you secure the mortgage loan that is required to buy your new home. Once you secure the mortgage loan through the lender or a broker, they will underwrite your loan and get it approved based on your documentation and federal guidelines. Once you receive a final approval, you are good to close the mortgage loan on your new home.
BENEFITS OF BUYING A HOUSE
When you are buying a house, you will always have some share in your home as equity. As a new home buyer, you could also take advantage of a few home-related tax benefits. Once you get a home mortgage, you can always get a tax write-off for the mortgage loan that you took for the new home. If you paid points when you got the original mortgage loan, you can always get it written off while you are filing your taxes.
Another advantage of having your own home is you have fixed costs compared to renting, as the landlord might hike your rent without prior intimation. By buying a house with a fixed-rate mortgage, you can actually count on more predictable costs related to your housing expenses. Although some aspects of your homeownership will fluctuate, like property taxes, your monthly mortgage payments would largely remain the same. Another benefit of being a homeowner is that you have complete control of the home that you bought. You can customize your home according to your comfort.
OPTIONS FOR BUYING A HOUSE
When you plan to buy a new home for the first time, like most people, you might also be trying to figure out about down payment and mortgage loan programs that are currently offered. If you are a first-time new home buyer, you might want to understand which category you relate to. There are a few first-time home buyer loans that you can choose from. Some of the first-time home buyer loans can help you finance up to 100% of the property value. Although 100% financing sounds great, you might have to qualify for these loans.
For individuals who have credit challenges and with limited cash for a down payment, FHA loans could be the best option. The advantage of the FHA loan program is that it allows a borrower to make a very low down payment on the purchase price. For potential first-time home buyers who have good credit but limited cash for a down payment, there are conventional first-time new home buyers loans like ‘home possible’ and ‘home ready,’ which give borrowers an option to make a down payment as low as 5%. Whether it be an FHA loan, conventional mortgage loan, or first-time new home buyer loan, we have lenders who can get the right program that suits you the best.
WHY BUY A HOUSE WITH COMPARE CLOSING LLC?
Whether you are a first-time new homebuyer or a real estate investor, buying a house could be a process with a lot of anxiety and might require immense patience and time. We at Compare Closing LLC are here to assist you in every step of the process to make it as smooth and as hassle-free as possible. With us comes the experience of mortgage lenders and brokers who have helped many individuals not only to guide them in the process but also to make their new home-buying experience a pleasant one. With a minimum down payment and fewer documents, our preferred lenders can help you close on your new home purchase within 8 to 15 working days. Buying a house is a big decision for anyone. Compare Closing LLC has your back. We can get you pre-approved for a mortgage in minutes and get your new home mortgage closed in no time.
