What You Need to Know Before Purchasing Your First Home
If you’re tired of renting and are ready to start building equity, it’s time you had a conversation with your credit union about investing in real estate . Before you get serious about the home-buying process, you should discover common mistakes made by first-time homeowners and how to avoid them. Here are a few important things you should know when looking for a home:
What Kind of Home You Want
When you start the home-buying process, you will likely have an image of the ideal home in your mind. Though you won’t find a property that exactly matches the home of your dreams, you should find something with similar qualities. Make a list of all the must-have features—i.e. good school nearby, 3 bedrooms, backyard—and only look at homes that fit the bill. As you tour potential homes, be sure to keep location in mind.
What You Can Afford
While it would be nice to buy a home that satisfies all your requirements, it’s important to be realistic about what you can afford . Before you start looking, work closely with a real estate professional and decide on a price range. Remember to factor insurance, taxes, utilities, and maintenance into the total cost of ownership. Knowing your price range will narrow the scope of your search and prevent you from the disappointing realization that you can’t afford a certain property.
How You’ll Handle Financing
If you’re like most first-time homebuyers, you can’t afford to pay cash for a home. To give yourself a head start in the home-buying process, you should consider getting pre-approved for a mortgage and discussing your financing options with your lender. You should decide how much you can pay in down payment, whether you want a 15 or 30-year mortgage, and whether you want a fixed or adjustable rate.
GCS Credit Union can answer all your home-buying questions and help you realize your dream of becoming a homeowner. We can also help you buy a new car with our auto financing services, or provide basic banking services—checking accounts, savings accounts, etc. Call us at (618) 797-7993 or visit our website to find out more.