How To Get Ready To Buy Your First Home

by Dandeneau Team Real Estate 12/26/2018

If you believe you are coming close to the time to buy your first home, you'll want to be informed. It’s never too early to begin preparing for a home purchase. The more organized you are, and the better you have your financial situation in order the better off you’ll be when it comes to the home search. Where should you start? Below, you’ll find some key things that you can do to maximize your chances of finding and securing your first home.


Check Your Credit


Your credit score is one of the most critical pieces of your financial picture. A FICO score ranges from 300 to 850. The higher the number, the better off you are. When you’re getting a mortgage, you want to have good credit. If your credit score is above 740, you’ll be eligible for the best interest rates. If your credit score needs help, a higher score will get you the best interest rates available. Once you get your credit score, (It’s free to get through a variety of services.) aim to improve your score. Pay your bills on time. Use less of your available credit (target to use 30 percent or less of your total available credit.) The bottom line is that a low-interest rate will save you a significant amount of money over the life of your loan. 


Refrain From Opening New Accounts


If you’re in the market to buy a home, it’s probably best for you to stay away from opening new accounts. Every store has their credit card and offers deals to open an account in store. While it could save you some money on your purchase, opening new accounts has a negative impact on your credit score in the short term. A car loan, for example, will also affect your credit score because it brings your debt-to-income ratio up, which can put a damper on your chances of getting a mortgage for a low-interest rate.


Save, Save, Save


If you want to buy a home soon, you’ll need to save up a significant amount of money. These savings will go towards a downpayment, closing costs, and furnishing your new place. Every chance you get, you should be putting money away. Include gifts, bonuses, and any other income that’s outside of your average take-home pay. 


It’s also a good idea to set up a second bank account dedicated to saving for the home. Set up an automatic transfer each month that will go into that account from your primary earnings. You can d this based on how your employer pays you.


Look For A Real Estate Agent


Your real estate agent will be a crucial part of your home search. They will help in everything from finding the property of your dreams to negotiating the deal to sitting by your side at closing. You should do a bit of research to help you find a real estate agent who can assist you in finding the right property for you. 


Ask family and friends for recommendations of agents. You can search for the real estate agent’s name online and see what kind of reviews the agent has and contact different agents. From there. You can make a decision.          


Now, good luck with your home search! 


About the Author
Author

Dandeneau Team Real Estate

A Commitment to Excellence! 

Respected for their in-depth knowledge of the marketplace and an instinctive ability to understand a client's needs, Steve & Enza provide local perspective in addition to current market trends when working with buyers & sellers in Central Connecticut. They love meeting new people and asking them questions in order to find mutual interest and build rapport. They enjoy the challenge of identifying, analyzing and finding solutions to help the client achieve their goals. 

Their expertise in negotiating yields the best results. Steve & Enza take a critical view of the market and understands the subtle "personality" differences of the many towns within the Greater Hartford, Tolland, & Middlesex Counties. 

As a member of all the local, state & national realtor associations,they've received many of the Top Sales award honors during their 30+ yrs of experience, including the Greater Hartford Board of Realtors Yearly Sales award, President & Chairman's Club, Monthly Top Sales Person, Multi-Million Dollar Club, International President's Circle, Honor Society; President's Circle and Chairman's Circle - Top 2% Nationally at BHHS New England Properties. In addition to their real estate connections, Steve & Enza are well known in their community thru their involvement and support over the years of the RHAM High School Music Boosters, Youth Athletic Leagues & Soccer Club, Boy & Girl Scouts, PTO, the Glastonbury Chamber of Commerce and, Enza has served as President of the Marlborough Business Association. 

Steve & Enza specialize in Creative Marketing for Sellers, Buyer Representation & Relocation for Residential, New Construction, Condominium, 55 Active Adult Communities and Land Sales.