What to Expect From the Home Buying Process

Buying your first home is an exciting and potentially overwhelming experience. As a first-time home buyer, you might be surprised at all of the paperwork and inspections involved in making a purchase. By remembering a few tips regarding mortgages, however, the process can go a lot more smoothly.

Check Your Credit

Before applying for a mortgage loan, check your credit report. The interest rate that you get on your mortgage is based on your credit history. If you find any errors, you may need some time to clear them off of your report. Each of the three major credit reporting bureaus will provide you with one free report per year.

Get Pre-Approved By a Lender

When submitting an offer to buy a home, having a pre-approval letter from a lender carries a lot of weight. Some sellers will only accept bids from buyers who are already approved for a mortgage offer or an FHA loan by a qualified lender. You may wish to have your real estate agent provide a copy of your dated pre-approval letter with your offer to purchase a home.

Have All of Your Paperwork Prepared

Before you apply for anything, prepare all of your paperwork. At each interval of the process, you will need to provide documentation. In order to apply for mortgage assistance or an FHA loan, you will need to have proof of your identity, proof of income and money in your bank account. You may also need to show proof from a homeowner’s insurance agency that you will be able to purchase a policy for the house.

Communicate Regularly With Your Real Estate Agent

It’s important to check in with your real estate agent often. The agent will help you to set up the home inspections, closing and final walk-through. These steps are key to finalizing your transaction.

Have a Check on Hand for Closing

At closing, the deal is signed by all involved parties. You may need to hand over a check to cover a portion of property taxes and to pay for the closing costs. These expenses do not roll into your monthly mortgage payments.

We encourage you to see if any of these mortgage assistance programs could benefit you.