5 Keys to Succeed as a First Time Home Buyer
About the author
Beth Reed
A gracious home does not depend on size or price...it depends on the heart that inhabits the home. My focus is to help you find the right space to establish your gracious home.
Curb appeal…a gracious way to greet the world.
You can succeed as a first time home buyer!
Buying a home in the current market is not for the faint of heart. It is especially brutal for the first time home buyer! But if you find yourself testing the waters of home ownership, there are proven ways to minimize the stress and increase the likelihood of being a successful first time home buyer. Embrace these 5 keys and you will be on the road to home ownership…armed with confidence and knowledge.
Gracious Entryway…the invitation to come on in.
1. Start Early as a First Time Home Buyer.
First time home buyers are such a delight to work with. It’s new. It’s fresh. It’s exciting. It can also be really stressful. One way to minimize stress is to begin the process before you find yourself in a time crunch. I can often anticipate the stress quotient when a conversation begins like this. “I have to be out of my apartment at the end of the month.” Or another familiar one. “We get married in a few months and we want to start our life together in a new home.” I can literally hear the clock ticking in my head. Tick-tock, tick-tock and on and on.
The breakfast room…a gracious place to gather.
Buying a home takes time…particularly when you are a glorious first time home buyer. Plan ahead. Plan for a marathon and not a sprint. Give yourself a six month window to educate yourself, assemble a team and execute a plan. Find yourself a robust first time home buyer guide. Seek the counsel of trusted friends, family or advisors. Assemble your important documents…bank statements, W-2’s, income tax returns, etc. Now it’s time to assemble your team! Let’s start with a key player…your lender.
Primary Bedroom…a gracious place to relax.
2. Seek out a lender as a First Time Home Buyer.
I cannot overestimate the value of this step! You and your lender will answer some critical questions together. How much can you afford for a monthly mortgage payment? How much should you save for a downpayment? What steps can you take to maximize your credit score? What expenses can you expect to pay at closing?
Primary Bath…a gracious place to unwind.
Now is the time to take a look at your credit. You still have time to build it or repair it if necessary. Join a free credit reporting service like Experian. Get to work on paying down any outstanding credit balances. Refrain from making big purchases (like a car or furniture.) And avoid applying for any new credit as you prepare to take on a mortgage. Find a lender who will not only quote mortgage rates but will also counsel you on how to become the strongest applicant you can be.
Back porch…a gracious space for casual dining.
When seeking out a lender, look for these qualities: Experience. You want a seasoned coach to lead you through the mortgage process. Products. You want a lender who can offer you the best options for your financial situation. Accessibility: I always prefer to work with a local lender. I like to work with a real person…with a real phone number…that I can call with questions or concerns.
If you happen to be looking for a home in the Chattanooga area, you have many qualified lenders to choose from. There are several that I would highly recommend including Juli-Ann Morgan at SouthEast Bank, Greg DeMars at Loan Depot, and the Kevin Blair Team at Element Funding.
Great room…a gracious place to entertain.
3. Select a REALTOR as a First Time Home Buyer.
Not surprisingly, I consider this a critical decision that will greatly impact your home buying experience. And, naturally, I would count it a great honor to represent you! Picture your agent as your personal advocate. Your agent’s job is to listen to your preferences, to guide you to homes that match your budget, and to negotiate on your behalf. Your agent is the one person on your team who should always be looking out for YOUR BEST INTEREST!
Whether you choose to work with us or another agent, find one who meets your standards of excellence. Find an agent with expertise. Your agent should know the market and know how to guide you through it. Find an agent who communicates effectively and is responsive to your communication style. Some clients prefer immediate responses…multiple times a day. Some clients prefer a brief daily recap. Some clients only want to be contacted with pertinent information and “bottom line” summaries. Find someone who will adapt to your style.
Most likely, this goes without saying but…choose an agent who displays professionalism. Your agent represents you. You deserve to be represented in a businesslike, knowledgeable and professional way!
4. Set Reasonable Expectations as a First Time Home Buyer.
Perhaps this is your toughest assignment. You are on the verge of the largest purchase of your life. It is thrilling! It can be scary. It probably will be stressful. You can help manage your emotions by managing your expectations. If I may, let’s go ahead and get to the straight talk. Most likely the process will not be flawless. You may make offers on multiple houses before you go under contract with “The One.”
You are probably not going to score the deal of the century. And even though your agent will try, you will probably not check every single box on your wish list. Your first home will be great! A wonderful place to make memories and establish a sense of community…but it may not be perfect. Few things in life really are. Aim for excellence not perfection. This will greatly relieve some of the pressure.
5. See the Big Picture as a First Time Home Buyer.
You are embarking on one of the greatest adventures of life. Finding, purchasing and establishing your first home. For some, the process is exhilarating. For others, it is brutal. There are deadlines to face, documents to sign, offers to submit and bills to pay. At some point, the process may seem overwhelming…even out of control. Take a deep breath. Keep your eyes on the finish line. Trust your team. Work your plan.
Welcome to the wonderful world of home ownership! You have all the tools you need to succeed!