At Allegacy Federal Credit Union, we know that purchasing a home is stressful and exciting at the same time. Following these simple tips will tip the scales less towards stressful and more towards exciting.
Check your Credit
Before you begin the process, check your credit. You don’t want to find the house of your dreams and then discover that you can’t get a loan because of something derogatory on your credit report. If you check your credit first, this gives you a chance to straighten it out before you find your perfect home.
Check your Budget
Look back at the past month and evaluate how much you spent on rent, how much debt you have, how much money you have in savings and how much you spent on your lifestyle. What mortgage payment would you be comfortable with? Remember, you, not your landlord, will be responsible for the cost of fixing things once you’re a homeowner.
If you decide you want to save a little more, our Mortgage Saver Certificate can help!
Talk to a Lender
Find out the maximum loan amount that you could borrow. You don’t need to max it out, but it’s a good idea to know your limit. Many lenders offer pre- qualifications so you have a general idea of how much you can afford prior to credit approval and income verification. Many also do a more in depth credit approval process that requires a full application but can help when making an offer because the seller knows you have the means to make the sale happen.
Just as there are many types of homes and many lenders, there are also many types of mortgages. Allegacy can help you find the mortgage that fits your unique needs.
Now that you know what you want to spend and how much you can afford, it’s time to look for the house that’s right for you. Besides the cost, you’ll want to think about location. How far is your commute? What’s the neighborhood like? If you have children, how are the schools rated?
You’ll also want to think about what’s important to you in a home. How many bedrooms and bathrooms do you need? What type of layout do you want? How much work do you want to do after you move in? Do you want a basement? How much yard do you want?
Check out our helpful evaluation forms to narrow down and determine which home features mean the most to you.
Now that you know what you want and what you can afford, you’re ready to find the house that will become your home. A real estate agent can help you find the perfect place to call your own. They know the market and where to find the homes that meet your criteria, saving you a lot of time!
Allegacy is here to help you through every step of the process starting with our Homebuyer’s Guide to put you on the path to homeownership. You can also call 336.774.3400 or visit one of our financial centers to learn how we can help you be your best.