5 Must-Know First Time Home Buyers Tips for 2021

home buying tips for first time

When you decide to buy a home for the first time, you need to look at tips for buying a house to make the right decision, save money, and have a successful deal. Jodi Habel mortgage broker has prepared some helpful tips for buying a house to help you get the most out of your buying experience as a first-time homebuyer. 

First-Time Home Buyer Tips

Here are five essential home buying tips for a successful buying process.

1. Choose the Right Mortgage Broker

The first home buying tip is to hire a mortgage broker who can help you go through the negotiation and closing process and will know everything you need for mortgage approval. 

Here are some advantages that you will have with a mortgage broker:

  • Time-saving – Mortgage brokers can help you find the home loan that matches your needs and interests and they will support you throughout the whole process. They assist to apply for grants and they ensure that you are sufficiently informed about anything that you need to know to find the perfect home. Researching the mortgage market is very time-consuming and hiring a broker who knows the market well will help you save your time. Moreover, they will help you with filling in and preparing any document that you need for the first-time home buyer mortgage. Jodi Habel Mortgage Broker can fill in any necessary paperwork, documents and take you through a smooth application process with utmost care. 
  • Experience – An experienced mortgage broker knows your individual needs and does their best to find the best loan that fits your interests. Through their experience and knowledge of the mortgage market, they can find a good deal that matches your needs financially. Having over fifteen years of experience in the mortgage industry, mortgage broker Jodi Habel is always here for you to help you get the best mortgage products possible for your needs by saving your money on interest rates. 
  • Wide access – They have access to a wide range of mortgages, various loans and banks and can find a mortgage that fits you the best. All good brokers should be certified. A good mortgage broker tries to find the best rate for you to save your money and time because they are always on your side and care for you a lot.  

2. Determine Your Budget

The next home buying tip is understanding how much you can afford for your house. Review your finances, including debts, income, and down payment to set your budget. 

As a home buying tip, consider saving money early. Besides the property’s purchasing price, there are three main costs that you should consider: down payment, closing costs, and expenses after buying a house. 

The first one is down payment which is the initial money you pay at the beginning of purchasing a house, which is a portion of the total price. The remaining sum of money is paid when you take out a mortgage. For example, saving up to 5% down on a 500,000 CAD home will be 25,000 CAD. The next cost is the closing expense that you pay during the closing of a real estate transaction. And finally, there are expenses that you should pay after a home purchase. Saving some money after a home purchase will help you make any repairs or maintenance if necessary. 

3. Review Mortgage Options

The third tip for buying a house is reviewing mortgage options to make your best choice. There are multiple types of mortgage loans available that you should consider choosing because they will determine how much you can afford. There are different types of loans, such as conventional, open, closed, etc. For choosing the right mortgage for your needs, you can opt for Jodi Habel Mortgage Broker to help you save money and get lower interest rates.  

4. Review Your Credit Report

The fourth home buying tip is reviewing your credit report. Lenders pay special attention to your credit report and credit score to see whether you are a credible person to give a loan. Your higher credit score shows that you are a reliable borrower, who will pay money on time and responsibly. As a tip for buying a house, if you have a good credit report, you will get smooth approvals and lower interest rates. 

5. Include Pre-approval Letter

The next tip for buying a house is getting pre-approval before you compare properties. Pre-approval is a letter that a lender gives you for showing that you’ve got a mortgage for a particular amount. When you include a pre-approval letter, you show the seller that you can afford the house. As a home buying tip, opt for Jodi Habel Mortgage Broker for being pre-approved for a loan.

After looking at these home buying tips, it’s time for you to plan your home purchase. Having over fifteen years of experience and working with many clients in the mortgage industry, I have access to different banks, lenders, and credit unions, making it possible for you to find the right mortgage that suits your needs the best. 

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