Do your upcoming plans include homeownership? If so, and you're buying a home for the first time, you're probably excited and a little bit anxious about what's ahead. We understand, this experience can be overwhelming. Our real estate agents have some tips to guide you through the process so you can find the perfect Central Texas home for you. 

• Identify Your Real Estate Needs
  If you're looking for Waco homes for sale, consider your neighborhood preferences, your family's lifestyle, and your current and future needs. A condominium may be more affordable than a single-family home, but you may outgrow it with a growing family. A fixer-upper may be a great fit for your budget, but the cost of repairs may be more than you bargained for. Before you make a purchase, think about what you really need now and down the road.
  
  
• Know How Much You Can Spend
  Buying a new home includes more than your monthly mortgage payment. You must also factor in the costs of homeowners' insurance, property taxes, home maintenance and repairs, and monthly utility expenses. Financial experts recommend that you first look at your net monthly income and your total monthly debt, then make sure you can comfortably handle both.
  
  
• Check and Polish Your Credit
  When buying a home, your credit score has a big impact on your loan qualification and loan interest rate. Take some steps to check and polish your credit score in advance:
  • Many experts recommend obtaining free copies of your credit reports from Equifax, Experian, and Transunion.
  • Track your credit score
  • Pay your bills on time ( no missed payments, and pay more than the minimum payment)
  • Don't open new credit accounts while applying for a mortgage
  • Do not acquire or make any major life purchases, such as a car, etc.
  • Keep your current credit cards open

To learn about the 5 C's of credit, make sure to read this article!

• Save for a Down Payment
  Your down payment is a percentage of your home price, usually based on your lender and the type of mortgage you choose. If you're a first-time home buyer interested in Temple homes for sale, you may qualify for as little as 3% down with excellent credit. Start saving early for a down payment, so you can build up funds for the house you want.

• Get A Pre-Approval Letter
  When you're pre-approved for a loan by a lender, you get an official pre-approval letter that you can share with sellers. You can make a stronger offer because the letter states how much money you're approved for to buy a home based on your finances and credit score. Please note that a pre-qualification letter is only for an estimated amount of money, and it does not represent a firm loan commitment from the lender.

• Explore Your Mortgage Options
  As a first-time home buyer, you should explore your loan options to get the best loan and interest rate. Speaking to a financial or loan officer will give you a realistic perspective. Don't forget that you can speak to multiple professionals in this field, and choose to work with a company that makes you feel safe and confident. Remember to look at reviews, analyze data as well as experiential evidence. You may also consult with your real estate agent, and get an informed opinion. Common loan options include:

• • Conventional Loans – with as little as 3% down
  • FHA Loans – with a 3.5% down payment and a lower credit score requirement
  • USDA Loans – with 0% down in qualified areas and with income restrictions
  • VA Loans – with 0% down for qualified veterans and active military

For a detailed explanation on these, and to find out which is your best option, please get in touch with a financial officer!

If you'd like to get an idea of what this may look like, we invite you to use our calculators. (With everything from a mortgage qualifying calculator, to mortgage payment calculators, these will give a good idea of what may happen in these different scenarios.)

• Take Advantage of Open Houses
  When you're looking for a new home, take advantage of social media listings, 3D home tours, and especially open houses where you can see the house in person. Remember that what is presented online doesn't always match what you see in person. A personal walk-thru will tell you a lot about the condition of the home, special details, outdoor amenities, noise, and privacy. It will give you the opportunity to scope out the neighborhood and consider drive time. As well as help determine if you can comfortably live in the house or not.

Do keep in mind when attending Open Houses that superficial details, such as paint color can be changed, and some repairs can even be negotiated. 

As a reminder, these tips are a broad overview, for specific questions, we recommend you speak with one of our agents directly. You can reach them via text or e-mail, or simply send us a message through our contact form. We look forward to assisting you find your home, and you'll be happy to know that our experienced agents are extremely excited to welcome you to your new home, and will help guide the way. 

Remember that searching for home on our website is simple, and you can search by city, zip code, county, area, you can even determine a radius, or search by drive-time from an amenity, or place of interest!

If you are interested in a specific area, we recommend you sign up for a market watch, that way you can stay abreast of the hyper-local changes to the market, the newest listing that comes online, the properties that have recently sold in your area of interest, and the average price! Your market watch can be for a neighborhood, a zip code, a city, or you can even draw a specific shape that cover a specific area (such as….3-4 specific streets) that you'd like to live on!