Guide to Follow As A First Time Home Buyer in Colorado Springs

It is indeed exciting becoming a Colorado Springs first time home buyer. Since you are buying a new home, it signals the next best stage of your life. Nevertheless, the process of figuring out and financing your dream home can be stressful.

Below is the step-by-step guide you must understand before embarking on a home buying journey.

Get the Pre-Approval

Buy a home but first figure out the amount you could afford. Make sure that your credit standing is in good shape. Plus, you must have huge savings in the bank and a decent job.

All these relevant information will be taken by a mortgage lender. These will be scanned through their system. That way, you will be pre-approved. But be sure that you meet their criteria. They can essentially write a lender letter. This will be shown to potential sellers that you are for a real deal.

Better to conduct your research for a trusted mortgage lender. Ask a network or realtor for some recommendations.

Have More to Put Down

A Colorado Springs first time home buyer like you may not be sure yet of the amount to put down. Swing it down by twenty percent so that you will be in great shape. This can get you access to lower rates. You’ll have more access to lower rates without paying a PMI. This only adds hundreds to the monthly payment. It pays off hitting that twenty-percent mark.

Keep in mind that the less money you have put down on your house; you’ll pay for higher costs, too. Check for the minimum with your lender. This is also while you still get a conventional mortgage.

In such a competitive market, a conventional loan is likely preferred. This is also since government-insured and FHA programs can have some more requirements. These will only hinder the way of closing the home buying process smoothly.

It also depends upon the lender’s requirements. You may still get a “gift” to help with the down payment. This will demand a letter that documents it as a gift. But still, with more money to put down, you will get a slight advantage in the market.

Look for a Trusted Realtor

A realtor can be found by word-of-mouth. Ask your family and friends for recommendations. Make sure that one can be trusted. He or she should also has the knowledge and experience in the area.

Stick with Your Preferences

First-time homebuyers think that they already know what their spouses want. But, the reality is that they have no idea of making an offer. Among the considerations to keep in mind include the size of home, the location, the number of bedrooms, the schools in the area, the updates needed, the type of cooling and heating, safety, and crime.

Be Ready of the Market That You Are In

Colorado Springs is getting more attention as one of the best markets in Florida. It is becoming a hot market of its own. With you as a buyer, you need to be prepared when hunting for a house. Be pre-approved. Know exactly where the down payment comes from. Know whatever it is you are searching for in a home.

Follow this guide that can help you as a Colorado Springs first time home buyer!