If you’re a first-time home buyer, then you probably have a lot of questions on your mind. That’s perfectly normal. You’re likely to feel nervous, stressed out, and overall overwhelmed by emotions during your home-buying journey. But we’ve got you covered!
We’re a team of experienced real estate agents, and we’ve helped many first-time home buyers find their dream home, despite the fact they’ve never bought a house before. To help you out, we’ve gathered a list of the most frequently asked questions and answered them for you. Let’s dive in!
How long does it approximately take to buy a house?
It takes about 1-2 weeks to be pre-approved. Then, your search for the right house can take from one month to six months, sometimes even more. It depends on your budget, preferences, and the situation in the market. Once you’re under contract, buying a home takes about 30-45 days.
What is the minimum amount I can put down on a home?
The minimum amount for your down payment is 3.5%. You can do this with a conventional loan, but your credit score and other details must be strong.
What other fees should I expect when buying a home?
Here’s a breakdown of some fees to expect when buying your first home:
- Cost of appraisal $500-$800
- Cost of Inspection $500-$700
- Closing costs 1.5-2% of the loan amount
- Any moving fees that are required – especially if you’re moving out of state
What is one of the first things I should do if I am interested in buying a house?
The first thing you should do is get pre-approved, to see what you are approved for. Make sure you set the monthly mortgage payment you are comfortable with so you can get an idea of the price point you can go to. This approach helps set the right expectations and then look at homes you have a chance with.
How can I prepare to buy a home in advance?
First of all, make sure you’re employed for two months or if you’re self employed, 2-years consecutively of tax returns.
Do everything in your power to help raise your credit score because it needs to be over 620 minimum. The better your credit, the higher your approval rate and better your interest rate. We suggest you talk to someone who can help you navigate what things on your credit will help your score the most.
Do I need to pay a commission to my agent for helping me find a house?
The short answer is yes and no. You will never directly pay your agent for helping you find a house. Their commission is really calculated into the sales price of the home, and a percentage of the commission is paid to the listing agent at closing and then typically is shared with the buyer’s agent. So while you would not be directly paying us, the seller will generally be paying the commission and thus impacts the overall sales price of the home.
Can you help me buy any house? Or do I need to go with the seller’s agent?
Yes, we can definitely help out! The seller is represented by a listing agent, and the buyer is represented by the buyer’s agent.
So there you have it! Those were some frequently asked questions and answers for first-time home buyers. Buying a house for the first time is emotional and stressful. But you can definitely make the process much more seamless and easier by finding a reliable and professional real estate agent to support you.
If you need any help along the way, we’ve got your back! Soukup Real Estate is a team of passionate and professional real estate agents focused on helping first-time home buyers find their dream homes. Northern Colorado real estate is our life, and we’d be happy to help you start your new life here!
