Purchasing their first home is a major milestone for most individuals yet it can quickly turn into a source of stress if not approached with proper planning and preparation. With so much to consider, from budgeting to finding the right property and loan, it’s easy to feel overwhelmed. But with the assistance of BrightPath’s first-time home buyer specialists, you won’t have to tackle this journey alone.
BrightPath will guide you through each step of the home buying process, from recommending the most suitable first-time buyer loan programs to helping you budget for the down payment and closing costs, to securing pre-approval so you can enter the home buying process with confidence. With BrightPath’s comprehensive support and expertise, you can expect a simplified and stress-free first-time home buying experience.
ESTABLISHING A BUDGET
Before embarking on your home search, it’s crucial to understand the various loan options available to first-time buyers as well as the associated costs. That’s where speaking with a first-time home buyer mortgage expert is helpful. They’ll help you navigate through the different first-time home buyer loan programs available and help determine the required down payment and closing costs, allowing you to set a realistic budget for your home purchase.
It’s important to keep in mind that the down payment is only one component of the costs associated with purchasing a home. There are other fees to consider, such as the application fee, credit check fee, appraisal fee, home inspection fee, and more. For a comprehensive overview of the various costs involved in buying a home, refer to our article “Five Steps You Need to Take Before Buying Your First Home”.
Once you’ve spoken with a home loan expert, you’ll have a better understanding of the funds needed to close on your home as well as your estimated monthly mortgage payment including property taxes, insurance, and other fees like private mortgage insurance (PMI) or HOA fees, if applicable. By being aware of all the components involved in a home purchase, you can avoid any unpleasant surprises.
SELECTING THE RIGHT LOAN
Once you have a clear understanding of your budget, it’s time to explore the various home loan options available to first-time home buyers. From low down payment programs like an FHA loan to no down payment options such as a VA loan which is available to eligible active duty military, veterans, and their surviving spouses, there are several options to consider, including options for individuals with less-than-perfect credit.
An FHA loan is a favorable option for first-time home buyers due to its flexibility for both the buyer and the lender. Being backed by the government means that the lender is protected in case of default, leading to more favorable terms compared to other mortgage programs. Your loan officer can help you understand the different options available with an FHA loan, such as a 30-year or 15-year fixed term or an adjustable rate mortgage. Your loan officer will consider factors such as your down payment amount, income, and credit score to determine the best option for you.
LEAN ON THE EXPERTS AT BRIGHTPATH
It’s important to find a lender that has first-time buyer expertise so that you can take advantage of all the programs available to first-time buyers. Your lender will explain all the pros and cons of the various loan options available to you and provide you with the best option for your situation. Understanding the loan programs available to first-time buyers and the down payment and closing fees required to close will help ensure that you’re prepared. Your lender may even be able to get you pre-approved so that you and your real estate agent can shop for homes within your pre-approved price range and budget.
BrightPath is a premier lender with more than two decades of experience serving home buyers and homeowners. We offer a variety of flexible loan programs, including options specifically designed for first-time home buyers. Our expert loan officers are always available to answer your questions, ensuring a stress-free and seamless home buying experience. Partner with BrightPath and experience the ease and confidence that comes with working with a trusted and knowledgeable lender.
To schedule a consultation, contact us today.
