Consumer Guide: Buying Your First Home
Buying Your First Home With Confidence Starts Here
So you’re ready to find your first home. But where do you begin? And what resources are available to help you? Here’s what you need to know on your homeownership journey:
Who is considered a first-time homebuyer?
A person who has never owned a home
A person who hasn’t owned a home in 3 years
A single parent who has only previously owned a home with a spouse
How do I find an agent? Navigating the house marketing can be an exciting yet daunting experience when your don’t have the support and expertise from a realtor that knows the area and the market. Agents help home buyers navigate challenges in the market and achieve the dream of homeownership. Agents offer a wide range of services, such as finding available homes that meet your criteria, accompanying you to showings, negotiating on your behalf, and providing their expertise throughout the entire journey.
What are my options for securing financing assistance? First-time homebuyers have multiple options for financing the purchase of their first home. Discuss with your agent the programs that might be available to you, including:
Conventional mortgage loans are financed by private lenders, such as banks, credit unions, and mortgage companies.
Federal loan programs are available for eligible buyers through the Federal Housing Administration, Department of Veterans Affairs and U.S Department of Agriculture
State-funded grants for first time homebuyers may be an option depending on your location.
Local governments or non-profit organizations in your area may have programs available to borrowers that meet specific requirements
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What is a written buyer agreement? In many cases the agent you’ve selected will be required to enter into a written buyer agreement with your before you tour a home together. This agreement will outline the services the agent will provide and what they will be paid for those services. These agreements are fully negotiable, and you should feel empowered to advocate for the agreement that meets your needs.
Are there any other ways I can lessen my cost burden? Some sellers may offer to pay certain costs associated with purchasing a home for you, which are called concessions. You can also ask the seller to pay for your agents compensation as part of your purchase offer. Both are options that may reduce out of pocket and upfront expenses, helping you stretch your budget further period your agent can advocate for you during purchase negotiations on these and other terms.
