The process of buying a home as a first time home buyer in Glendora
July 13, 2016
Deciding to buy a home is a big decision. So it is no wonder that a lot of thought should and does go into it, but what do you need to know? What questions should you ask? How does the process work and when do you know you are ready to start?
First thing is first; Get your two recent years of tax returns, last 3 months of bank statements, two recent paystubs. Then call a lender or call a few. Let them know that you are a First Time Home Buyer. Many lenders have programs that assist First Time Home Buyers with down payment or closing costs. Ask about interest rates and if you feel comfortable then give them your information. They will need your full name (as it appears on your Driver’s license), Social Security Number, Address, and possibly where you work. Many First Time Home Buyers ask if they should go to a Bank or a Mortgage Broker. My advice is usually, you always want to make sure that you are getting the best loan terms and so I suggest starting with your Bank or Credit Union and then contact a Mortgage Broker. While the Bank and Credit Union will be able to provide their individual loan terms you can then compare it to the Mortgage Broker. The Mortgage Broker will collect multiple loan terms from the investors that they work with and then you can compare what loan term and contact works best for you.
The next thing that I would stress is to know your budget. Understanding that the amount that you are pre-qualified for does not necessarily need to be the amount of your purchase. Figure out the amount of your monthly mortgage payment and then ask your lender to help you figure out the purchase price that fits your budget. Down Payment and Closing Costs, keep in mind that these are two different costs. If for example, you have $20,000 to put down on a house, when you speak to your lender make sure to say you have $20,000 for your down payment and closing costs. The down payment and closing costs depend on your loan amount, lender and loan terms.
After you figure out a purchase price with your lender then its time to come and see a Realtor.
How do I pick a Realtor? Usually, someone knows or has worked with someone that is a Realtor. I would suggest working with a full-time Realtor. Believe it or not there are part-time Realtors out there and this is a full-time job, no doubt. Another thing to make sure is that where you move to, the Realtor representing you is knowledgeable not only in the area; regarding school districts, shops, transportation and other services available in the city but they also know about the market. Pricing of homes, common housing characteristics, etc.
So, I think this is enough information for now. Some might feel an information overload and that is ok too. This will be up for you to review and slowly digest. If this has made you have even more questions, feel free to contact me at Christyna.Butcher@Podley.com
Christyna Butcher | CalBRE#1226779 | Podley Properties | 755 E. Route 66, Glendora, CA 91740 | Cell 626.261.9093
Christyna was born and raised in the San Gabriel Valley, and has been in the real estate industry for 22 years. She takes pride in her professional “client first” mentality and providing her experience and ability to negotiate on their behalf – regardless of whether they are buying or selling. Her clients also benefit from her knowledge of the San Gabriel Valley and surrounding areas, including; the Inland Empire and Los Angeles. She also takes personal pride in raising her daughter with her husband in her hometown of Glendora. Christyna knows every client is important, and looks forward to accepting the responsibility of helping them meet their real estate goals.