Buying a home can be a daunting process especially if you’re a first time home buyer. Since 2002 I’ve helped 100’s of people get home loans and in all those years I’ve noticed 4 common mistakes that many first time buyers make.
In fact I see people that have bought many homes make these same mistakes.
I’m going to share these with you now, so you don’t have that problem.
Mistake #1:The number one mistake I see is that folks jump in to the home buying process unprepared. This isn’t meant to sound like a pitch to call me, but it is a strong encouragement to call someone in the mortgage industry. Even if your 6 -12 months from buying it is a very good idea to call a mortgage professional so you can get an idea of price range, your new payment and whether or not any work needs to be done to on credit or debt issues. These calls are easy, there no cost or obligation and VERY valuable
Mistake #2: Be careful about your consumer debt. I don’t want to preach but those credit cards payments can add up quick. $300 a month in consumer debt is about 50,000 in home buying power, meaning I’ve seen people go out and buy a motorcycle with a 300/mo. payment and then they scratch their head as to why they can only afford 150k house when they need a 200k house to suit their needs.
Mistake #3: Don’t make assumptions about what you can qualify for or what your monthly payment will be based on online mortgage calculators. They rarely get it right. There are too many things to consider about home loans be get accurate information from an online mortgage calculator….again call your mortgage professional to get accurate information and to learn your different loan options as each has it’s pro’s and con’s.
Mistake # 4: The first 3 mistakes I’ve listed deal with things that happen before you make an offer on a home. Mistake #4 is people not getting a home inspection. A home inspection is about $300 and is an investment that that is worth every penny. It isn’t required but I highly encourage it. A home inspector goes through the home top to bottom and looks for any major or minor issue.
When you write the offer for your new home we also help to protect you by making the offer subject to a satisfactory home inspection. This means if anything is wrong with the home or from some reason you are not satisfied with the results of the home inspection you can walk away from the transaction if you want. so that is a great protection for you…Usually the inspections turn out fine or there maybe a few minor things to take care of but it’s sure a great piece of mind knowing that you had a professional give your new home a thorough checkup.
If you’d like experienced help making an informed home loan choice please contact:
Kurt Nilsen-Mortgage Advisor
Sunrise Mortgage Group
365 Warner Milne Rd. #206
Oregon City, OR. 97045
A Division of Finance of America Mortgage LLC
NMLS # 1071
Equal Housing Lender
If you prefer you can get the ball rolling by going here.
Disclaimer: This resource guide and the loan overviews are not commitments to lend. Prices, interest rates and guidelines are subject to change without notice. Some loan products may not be available in all states or areas. Subject to review of credit and/or collateral; not all applicants will qualify for financing. It is important to make an informed decision when selecting and using a loan product, please make sure to compare loan types when making a financing decision.