Buying your first home can feel like an overwhelming process without the right guidance. There are many factors to consider, like your budget or the kind of neighborhood that’s right for your lifestyle. As a first-time homebuyer, it’s key to get organized and plan ahead before beginning the home-buying journey. Below are a few considerations before taking the plunge into the world of homeownership.

Get clear on how much home you can afford

Understanding what you can afford is one of the most important exercises first-time homebuyers should make. In addition to saving for a down payment, there are other costs to consider, like lender application fees, closing costs, attorney fees, and more. After the closing, remember that there’s more to owning a home than just a mortgage payment. Always take into consideration home maintenance, property taxes, utility costs, and homeowners insurance. Talking to a lender early is also a crucial step to understanding how much home you can afford.

Check your credit score

Monitoring your credit score may not be something you do on a regular basis, but it will come into play as a first-time homebuyer. Your credit score will determine which kind of loan you qualify for and what kind of interest rate you can expect to pay on your mortgage. If you have any surprises lurking in your credit report, like unpaid bills or late payments, it’s important to address those before beginning the home buying process.

Research first-time homebuyer assistance programs in Maryland

As a Maryland resident, first-time homebuyers should research mortgage and financial assistance program eligibility. State programs like the Maryland Mortgage First Time Advantage Program can help first-time homebuyers with down payment assistance, closing costs, and lower mortgage rates (when qualified). Researching these free resources offered by the state of Maryland can help you save time and money during the home buying process.

Prioritize what’s important to your lifestyle

When it comes to buying your first home, it’s rare to find everything you are looking for in one property. Make a list of priorities and must-haves that fit your lifestyle. For example, if you have a dog, maybe a fenced in backyard is a must when looking at properties. Or maybe you work from home, so a quiet neighborhood away from major highways might be a priority. Knowing which home features are absolutely necessary will make your home search easier.

Find the right agent to guide you through this process

There will undoubtedly be confusing aspects to the process as a first-time homebuyer. Do your research and find an agent who knows what they’re doing. A first-time homebuyer should work with an agent who is a full-time professional and preferably has several years experience in the real estate industry. As a first-time homebuyer, your agent needs to be transparent, communicative, and willing to explain the process from start to finish.

Reach out to an agent early in the process

Buying your first home can be an overwhelming experience, but rewarding in the end! It’s never too early to contact a real estate agent and start asking questions. If you are looking for a real estate agent who knows the Baltimore area and can help you explore your options, I’d love to meet with you. Reach out to me through my website or give me a call at (302) 545-8569, and follow my blog for more home buying tips!

Tips for First-Time Homebuyers