real-estate-investment

What is the best way to go about buying a house?

One of the most exciting times in anyone’s life is when they go to purchase a home. It is the American dream to own your own home and a major milestone in your life. However, it is a process and you may be asking yourself, “What is the best way to go about buying a house?”

Are you ready to become a homeowner?

The first step before you even begin to consider buying a home is to get your finances in order. Pull your FICO score and look over your budget. Make sure that you can afford a mortgage payment before you dive into the home-buying process. If you feel that they are, your next step is to begin saving for a down payment.

How much do you need to put down on a house?

Let’s begin with defining what a down payment is. A down payment on a home is the money that a buyer gives the seller of a property to lock in the purchase. This payment is always a percentage of the total of the purchase ranging from as low as 3.5% on Federal Housing Administration (FHA) loans to 20% depending on which lender you choose.

Just keep in mind that the more that you can put down on a home the better lenders like it. And in the long run, you will as well. Which leads us to our next question, “What kind of credit score do I need?”

What kind of credit score do I need to buy a home?

Your credit score is a huge factor in the process of buying your home. However, there is not a hard-and-fast rule to apply to everyone.

In general, the better your credit score is the more likely you will qualify for a good loan. Currently, the FHA requires a minimum FICO score of 580. However, other lenders prefer a minimum, preferably higher, FICO score of 620.

Nevertheless, your credit score is not the only thing that will be considered when you are qualifying for a home loan. Don’t hesitate to shop around with different lenders and compare interest rates because they add up over time.

Can you buy a house with no down payment?

There are some instances in which consumers can get a loan for a home without having to put anything down.

You can get this type of loan in the following instances:

  • If you are a Veteran, US Department of Veteran Affairs
  • Low to Moderate-Income in a rural area, USDA Loans
  • First-time Home-Buyer Assistant Programs
  • Some FHA Loans

However, keep in mind that if there is little to no down payment on your home purchase the monthly payment is higher. Therefore, it is always beneficial, if possible, to have a down payment.

Who do I contact to begin the process of buying my home?

Lisa Cogdill Realty!

As an agent who was born and raised in Western North Carolina, I understand the difficulties of buying and selling a home in this region. That is why I personally continue my education to be a helpful asset to my clients.  Along with yearly updates I am specialized in:

  • SBS, Strategic Pricing Specialist
  • ABR, Accredited Buyers Representative
  • SRES, Seniors Real Estate Specialist
  • Home Staging Specialist

I strive to make all my clients feel comfortable and confident throughout the buying process. It can be intimidating to first-time buyers, or anyone, to go through the process of buying a home. At times it can be exhausting and very time-consuming, but an educated agent can be an asset to you. I can help you through it all and help make your dreams reality.