First-time Home Buyers

Remember when I said I read the real estate section of the newspaper? Well this blog is about the Guide for the first-time buyer article that was written in the March 22, 2009 edition of the San Antonio Express-News.

What a lot of great advice!

First off you should get your financial paperwork in order and get pre-approved before you start looking for a home. I have a suggestion that differs from the article and that suggestion is to get pre-approved through a Mortgage Banker not a broker. The article states that you should be pre-approved to know what you can spend on a house but I take it a step further. With my clients I believe they should know what the monthly payment is they are comfortable with so that they can not only enjoy the home but continue enjoying life too. Lots of times the lender will pre-approve you for a home that has a payment higher than what you want to spend on a monthly basis. What needs to be understood is that they do this based on the data they are provided and the Mortgage Banker you hire should be your advocate and understand what you are comfortable with paying monthly.

Foreclosures are discussed in the article and I believe they should not be considered at all if there is a lot of visible damage such as rot, holes in walls, or roof damage especially if the first-time home buyer is going to get a VA or FHA loan. Why is that? Well there will be lender required repairs and the bank won't do them usually. At times your lender may be able to put together a repair escrow so definitely ask about this when you sit down with your Mortgage Banker.

Disclosure of your income, debts and liabilities is extremely important when you meet with your Mortgage Banker. The reason for this that your lender will need to verify all the information you provide so that when you do find the home you want to purchase there is less of a chance that the loan won't be denied. Remember that just because they may qualify you for an expensive home doesn't mean you have to buy one that high.

Shopping - Wow with over 11,000 homes for sale in San Antonio at http://www.sarealtywatch.com/ you can get so caught up in the shopping thing that you can absolutely be traumatized and stunned into inaction. So my advice to you is to sit down with a REALTOR who will educate you on the market and help you outline your wants and needs.

When I sit down with first-time home buyers we discuss their dreams and successes thus far and end up with a path towards owning a house that becomes a home. It is incredibly satisfying.