Buying your first home is exciting, yet incredibly stressful. Because the process is new, first-time buyers are bound to make mistakes. While it is important to rely on the experience of a trusted realtor throughout the homebuying process, you also need to do your own research to put yourself in the best position possible. With this, read on and discover a few tips for first-time homebuyers in 2020.
Get preapproved
One of the best steps a buyer can take is to get preapproved for a mortgage before beginning their home search. Buyers need to remember how quickly homes can come and go from the market. Sometimes, homes sell the same day in which they are listed. One of the greatest benefits of being a preapproved is that you can act quickly on homes that just hit the market. When you are not preapproved, you are at a disadvantage because it will take you longer to be able to submit an offer. Another major advantage of becoming preapproved is that you know how much you have to spend. This will help expedite your home search because you will spend less time looking at homes that are not in your price range. Another benefit of getting a preapproval letter from a lender is that buyers sellers will take you more seriously. Sellers generally prefer to work with individuals who have done their homework by getting their preapproval letter.
Be attentive during showings
It is easy to get carried away with certain aspects with homes that catch your attention during a home showing. However, buyers need to remember that it is important to always remain objective and not allow your emotions to get the best of you. When touring a home, you want to be thorough when assessing the condition of the property. Also, do not be afraid to ask questions and lean on the expertise of your agent.
Consider your credit score
Because interest rates are low, now may be a great time to be searching for a home. First-time homebuyers who are looking to take advantage of the current low interest rates need to understand the implications their credit score has on their ability to get a loan and a low rate. With this, first-time homebuyers should check their credit score prior to applying for a loan. If you find that your score could be significantly higher, you want to find ways to boost your score.
