Kimberley Martin - Homes of New Hampshire Realty



Posted by Kimberley Martin on 11/12/2017

As a first time home buyer, you may feel like a fish out of water when it comes to the process of getting a home. If you’re ready to buy your first home, there’s some key mistakes that you should avoid. 


You Think That You Don’t Need Help From A Professional


So many homebuyers think that they can save themselves a few dollars by avoiding working with a realtor. This is a big mistake. Realtors are a valuable resource for buyers and will help you throughout the process of purchasing a home. Realtors can help guide buyers step-by-step while providing assistance with things like negotiations and making sure all of the paperwork gets from point A to point B. You’ll also need other professionals involved in this process of home buying including lawyers and loan officers. Having these people on your team protects you and gives you a backing of knowledge that you wouldn’t otherwise have. 


Don’t Skip Pre-Approval


Getting pre-approved for a mortgage is key before you even start to search for a house. The pre-approval letter is a great resource in helping you land the home of your dreams. If you’re going up against other bids on a home, your bid will be seen as more serious if you have been pre-approved. Getting a pre-approval lets sellers know that you’re serious about the whole process of buying a home and are ready to make the financial commitment. 


Know The Costs Associated With Buying A Home


Just because you have the monthly income to pay a mortgage doesn't mean you’re financially ready to buy a home. There’s a few things that need to be in place before you can even commit to buying a home. First, you’ll need to make sure your credit score is up to par. Next, you’ll need to have enough saved up for a down payment. Without a down payment of at east 20% of the purchase price of a home, you’ll need to pay for private mortgage insurance (PMI). There’s plenty of other costs that you’ll need cash on hand for when it comes to buying a home. This includes home insurance, home inspections, closing costs, property taxes, HOA fees, and maintenance. In other words, there needs to be some wiggle room in your budget for all of the extra costs that go into closing on a home and maintaining a home. 



Don’t Completely Deplete Your Savings


Just because you have been saving up for years to buy a home, doesn’t mean you need to completely deplete your savings in one pass. If you lack an emergency fund, you’re not buying a home with a responsible financial cushion. While you’ll probably take out a good chunk of savings in order to purchase the home, you need a bit more. Experts say that you need about 3-6 months of expenses saved up in case of the event of illness, job loss, or other emergency. Hence the name “emergency fund.”





Posted by Kimberley Martin on 4/9/2017

Let's face it – paying monthly rent for your tiny apartment is no longer feasible. Instead, you need a bigger place to live, i.e. a house that you can enjoy for years to come. As a first-time homebuyer, exploring the real estate market may sound like a fun, exciting opportunity – and it is! However, you need to prepare for the housing market, and by doing so, you'll be able to improve your chances of finding your dream residence quickly and effortlessly. So what does it take to find the right home? Here are three ways to boost your chances of buying your ideal house: 1. Save Money Before You Buy a Home. You'll likely need to find a lender that can offer you a mortgage with an interest rate that fits your budget. And if you save money before you buy a house, you could improve your chances of getting a mortgage with a lower interest rate. Typically, having enough money to cover several months worth of a home's mortgage may make you a better candidate for a mortgage than other potential homebuyers. It also is important to keep in mind that saving money now may help you pay closing costs and other fees that frequently arise during the homebuying process. 2. Look at Both Your Income and Debt. Ideally, you'll want to establish a budget as you prepare to explore the real estate market, as this will allow you to determine which houses you can afford. When you create your budget, be sure to consider both your annual income and outstanding debt as well. Evaluating these factors will enable you to better understand your yearly expenses and ensure you're able to search for homes that fit your budget perfectly. Don't forget to consider your future earnings as you develop your budget, too. For instance, if you're a student who already has a job lined up after graduation, you may be able to handle a larger monthly mortgage payment. On the other hand, if you have a baby on the way, you may want to account for the expenses associated with a newborn as you pursue a residence. 3. Monitor Your Credit Score. For homebuyers, your credit score reigns supreme in the eyes of lenders. Thus, spending some time monitoring and improving your credit score may make it easier for you to move one step closer to landing your dream house. Remember, you're eligible to receive a free copy of your credit report from each of the three major credit reporting agencies (Equifax, Experian and Trans Union) annually. And if you review a copy of this report, you can understand where your credit score currently stands. If your credit score is low, you can improve it by paying off any outstanding debt. Furthermore, if you find an error in your credit report, be sure to notify the agency that provided the report to you to ensure you can fix this mistake; otherwise, the error could impact your ability to buy a house. Being a first-time homebuyer sometimes can be challenging. But if you use the aforementioned tips, you may be able to bolster your chances of purchasing your dream residence.





Posted by Kimberley Martin on 3/5/2017

Even a first-time homebuyer can become an informed shopper, i.e. someone who understands the ins and outs of the housing market. In fact, some of the best ways to become informed as you move along the homebuying process include: 1. Determine How Much Money You'll Need. How much money do you have to spend on a home? Find out by getting pre-approved for a mortgage and establishing a homebuying budget. Pre-approval for a mortgage may help you speed up your journey from homebuyer to homeowner. And with the right homebuying budget, you'll be able to narrow your home search to residences that fall within a set price range. Plus, you'll be able to avoid the dangers associated with overspending for a home, along with the risk of falling behind on mortgage payments down the line. In addition, try to determine how much you'll need to cover the down payment, closing costs and other fees you may encounter during the homebuying process. By doing so, you'll be prepared to manage your expenses and ensure you have enough money to purchase your dream home. 2. Evaluate a Wide Range of Houses. Although you might fall in love with the first house you view, it is important to keep in mind that the real estate market is filled with a variety of exceptional residences. Therefore, if you spend some time attending open houses and home showings, you may be better equipped to find the right home quickly. For homebuyers, it usually is a great idea to create a list of must-haves for your house. This list will allow you to search for residences that fit specific criteria. Furthermore, don't forget that an informed homebuyer frequently asks questions as he or she assesses a residence. There is no such thing as a bad question to ask during an open house or home showing, and ensuring all of your concerns and queries are addressed is paramount in your quest to find the right home at the right price. 3. Collaborate with a Friendly, Experienced Real Estate Agent. When it comes to finding your dream home, who says you need to navigate the homebuying process alone? Instead, find a friendly, experienced real estate agent to guide you along the homebuying journey, and you can reap the benefits provided by a housing market expert. Your real estate agent will serve as a key contributor in your efforts to discover your ideal home quickly and effortlessly and will help take guesswork out of the homebuying process, too. Moreover, your real estate agent will be able to set up home showings, keep you up to date about new real estate listings in various cities and towns and provide comprehensive insights and resources into the housing market. As a result, this professional will make it simple for you to move along the homebuying process and guarantee you're satisfied with the end results. Be an informed homebuyer – use the aforementioned tips, and you should have no trouble purchasing your dream residence.





Posted by Kimberley Martin on 7/10/2016

Being a first time home buyer has it's benefits when it comes to financing. The Federal Housing Administration (FHA) has loans tailored specifically to you! Lower down payments and lower closing costs help newbies make the jump into home ownership. With a FHA first time home buyer loan you can get interest rates as low as 3.5%, which can really save money on the life of your loan and keep your monthly payments lower. Your down payment is also lower than a traditional mortgage; instead of putting 20% down, you can put as low as 3.5% down if you qualify. While a lower down payment will increase your monthly payment (since you are taking a loan out for more money), it will help with the burden of needing a large amount of money up front. With FHA loans you can also include most of the closing costs and fees into the loan, again helping with the money needed at the time of purchase. You can even add in the costs for repairing a home that needs a good deal of fixing up. Regardless, you will need to have enough money for the down payment, some closing costs, and inspection. Since you would be putting less than 20% down, FHA loans require that you also have private mortgage insurance (PMI), which is a percentage of your loan. This will be added to your monthly mortgage payment, and the bank will pay it out of your monthly. Being a first time home buyer probably means you need some help on getting through the process. The US Department of Housing and Urban Development (HUD) has housing counseling agencies that can give you advice on buying a home, avoiding foreclosure, and fixing your credit. You can find your local agency at http://www.hud.gov/offices/hsg/sfh/hcc/hcs.cfm. Lastly, you can also find local buying programs to help with buying a home, including helping with your down payment at http://www.hud.gov/buying/localbuying.cfm. If you never thought you would be able to afford a house, think again. With programs out there to help you buy your first home, you could be moving into a place before you know it!




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