Are you ready to buy your very own home? While it’s good to start thinking about where you might like to live and how many bedrooms you want. Just the thought of all the process that you must go through may scare you. Buying a home doesn't have to be complicated.
One way to start is to talk with a housing professional or visit a local design center. Why? Well one, they have years of experience and knowledge and key connection with top lenders, experienced in lending policies and banks. They can tell you not only how much you can borrow and what kind of incredible interest rates you qualify for but also provide you with a number of home loan options that best suit your situation. Cool right?!
The question is though, are you ready? Here are five good and bad habits of a first home buyer.
✅ You know your borrowing power: Be prepared to apply for a home loan by finding out how much you can borrow.
✅ You have a good credit history: Generally speaking, this means that you have a small amount of debt, such as a car loan or credit card, and you’ve been making your repayments on time, every time.
✅ You’ve saved up a 5% deposit to purchase a property: You don’t have enough for a deposit? Can your parents help you out with a gift?
✅ You’ve been working in the same place for at least six months: Have you just started a new job? You may still qualify for a home loan!
✅ You’ve gotten a pre-approval before looking for a home: Be prepared to apply for a mortgage and increase your chances of getting approved.
❌ You don’t have any genuine savings and you don’t have a guarantor (cosigner): If you add a cosigner to the loan, the cosigner can help if you have a low personal DTI, and can add sufficient strength to the primary borrower’s loan application to get it approved.
❌ You have a bad credit history: If you have bad credit, getting a home loan may not be possible due to the negative impact of history. However, here is some helpful tips
❌ You’re buying in a remote area or an area with a fluctuating property market: Will the banks see your property location as a high risk?
❌ You’ve found the perfect home but you don’t have pre-approval: Worst still, you’ve signed the contract of sale before getting pre-approved! Don't hit short of the finish line, try getting a pre-approval to know where you stand
The Happy Ending
Buying a home doesn’t have to be complicated. Call us now at 855-550-6550 or visit us online to speak to an expert who can walk you through the process in your first home buying purchase.