Buying a house is a substantial financial commitment and a big step in your life, and it can be a daunting process if you don’t know what to do. Thankfully, there are steps you can follow to help reduce some of the stress and increase some of the excitement.
Check Your Finances
If your finances are a mess, you will want to put the brakes on buying a home. Experts agree that it is important to have a well-established savings account with 3 to 6 months of living expenses, in addition to the upfront costs needed to purchase a home. When going over your finances, look at your spending habits. Keep track of every purchase you make and calculate what you can allocate towards a mortgage. Finally, check your credit score. If your credit is poor, you will likely not be approved to purchase a home, and if you are approved, your interest rate will be extremely high.
Find a Mortage Lender
Once your finances are in order, you want to find a mortgage lender Hoboken NJ that you feel comfortable working with. You’re going to be dealing with them a lot in the house buying process, so if you really don’t like them, you should look for someone else. Additionally, shop around for a lender that has the best interest rate and program for you. Don’t assume that all banks or mortgage lenders have the same rates or programs. Furthermore, lenders might not tell you all of your options upfront, so do your homework and ask questions.
Choose a Realtor
After you have been preapproved, you can start looking seriously at houses. To be let into most homes, you must have a realtor. Plus, they will be a valuable asset in the home buying process by communicating with the seller’s agent and helping you know which forms to fill out and what the timelines are. When choosing a realtor, ask friends and family for the name of someone that they enjoyed working with previously.
