First Time Home Buyers

There’s a lot to know when it comes to buying a home in Sacramento area. Understanding the details of the local community, identifying the size of home, style of home and setting, and of course, organizing a budget – these are all important details to consider. Whether you’re a first time buyer, looking for a bigger house or downsizing, Sandeep Singh Real Estate is here to help you every step of the way. My goal is to provide you with expert, caring, and candid advice throughout one of the most important transactions in your life. That is my commitment to you.

Guide

Buying a home can be nerve-racking, especially if you’re a first-time home buyer. Sandeep Singh Real Estate can help you navigate the process, save money and avoid common mistakes. See the things you should and should not do.

Start saving for a down payment early

It’s common to put 20% down, but many lenders now permit much less, and first-time home buyer programs allow 3%.

Explore your down payment and mortgage options

There are lots of mortgage options out there, each with its own combination of pros and cons. Options include: Conventional, FHA, and VA.

Research state and local assistance programs

In addition to federal programs, many states offer assistance programs for first-time home buyers with perks such as down payment assistance, closing cost assistance, tax credits and discounted interest rates. Your county or municipality may also have first-time home buyer programs.

Determine how much home you can afford

Before you start looking for your dream home, you need to know what’s actually within your price range.

Check your credit and pause any new activity

When applying for a mortgage loan, your credit will be one of the key factors in whether you’re approved, and it will help determine your interest rate and possibly the loan terms.

Get a preapproval letter

You can get pre-qualified for a mortgage, which simply gives you an estimate of how much a lender may be willing to lend based on your income and debts.

Hire the right buyer’s agent

You’ll be working closely with your real estate agent, so it’s essential that you find someone you get along with well. The right buyer’s agent should be highly skilled, motivated and knowledgeable about the area.

Pick the right type of house and neighborhood

You may assume you’ll buy a single-family home, and that could be ideal if you want a big yard or a lot of room. But if you’re willing to sacrifice space for less maintenance and extra amenities, and you don’t mind paying a HOA fee, a condo or townhouse could be a better fit.

Stick to your budget

Look at properties that cost less than the amount you were approved for. Although you can technically afford your preapproval amount, it’s the ceiling — and it doesn’t account for other monthly expenses or problems like a broken dishwasher that arise during homeownership, especially right after you buy. Shopping with a firm budget in mind will also help when it comes time to make an offer.

Most common first-time home buyer mistakes to avoid

Not budgeting for closing costs

Not saving enough for after move-in expenses
Buying a home for today instead of tomorrow