First-Time Buyers

If you are done paying a landlord for their mortgage on your home or apartment here are some tips to get you started in the right direction.

Where do you start?

You want to know your finances better than anyone. The last thing you want is to sit down with a lender and have them tell you all the things about your credit and finances that you never knew. Get a copy of your credit report for free here

Since you are already used to making payments, paying a mortgage on time shouldn't be that difficult. The thing you need to learn though is all the other issues that come with having a mortgage. You will also need upkeep on the home which is something most landlords will do for you. These are factors to consider when applying for a loan. If you max out how much you can afford, there may not be any left over.

There are still great programs for first time home buyers. Mortgage lenders have the most access to a wide variety of programs and options when it comes to creative financing. Finding the right lender may be a little more tricky. We have lenders we recommend for top notch service without any preditory lending tricks. If ever there is something you don't understand our agents would be happy to explain things to you until you fully understand it. Don't sign anything until you do. This is a large purchase and one of the biggest investments you could ever make.

Your lender.   Your bank or credit union may help as well.  Are you debt free and own something free and clear, like a car?  Your lender may lend you the down-payment by securing it against this asset.  If you are looking for a local bank to help finance your home you might check with First National Bank of Alamogordo Theresa Murray.  Click the link above and then click on Mortgage Loans.

Have some funds set aside

You certainly can find great financing options with little to no money down but you don't want to start the home buying promise without some liquid cash. Lenders see this as a risky investment. If you were to loose your job, how would you pay the mortgage if you don't have any money set aside for reserves?

Make sure you have at least 1-3% of the purchase price of your home set aside for expenses such as earnest money deposit, inspection costs and possible closing costs. Closing costs can be built into the loan if done correctly but you still want to have some when it's all said and done in case you need to make repairs.

For more tips for first time buyers or to find out where you can start in the process, please contact me anytime. I would be happy to help point you in the right direction and help you on your way to home ownership in the Alamogordo homes area.