FIRST TIME HOME BUYERS
First Time Home Buyers
Buying your first home is an exciting milestone, and at Hare & Associates, we are here to provide you with the guidance and resources you need to navigate this important journey. Whether you are just starting to save or have a specific house in mind, we are committed to helping you obtain the keys to your first home. Here are some frequently asked questions to help you get started:
What is the first step?
The first step is to understand that you will never be alone throughout the buying process. Our team is here to support and guide you every step of the way. We will work together as a team, ensuring you feel confident and informed in making decisions.
How do I determine how much home I can afford? The best way to determine your affordability is by working with a lender who can assess your specific situation. If needed, we can refer you to a trusted lender. Additionally, you can use our website's calculator for a quick reference: https://www.hareassociates.com/mortgage-calculator/
What if I have bad credit?
Having less-than-perfect credit does not mean you cannot purchase your first home. There are various ways to improve credit, and our experienced lenders can assist you in this process. We can also explore alternative options if improving credit is not feasible. We will help you create a long-term plan that aligns with your family's needs.
Do I need to put 20% down?
No, putting 20% down is not a requirement, especially for your first home. There are many programs available with down payments as low as 3%. We will explain the different options, ensuring you make an informed decision.
What is PMI?
PMI stands for Private Mortgage Insurance, which is often required when the down payment is less than 20%. However, there are alternative options available. We will guide you through all the available choices.
What is included in my mortgage payment? Depending on your down payment and preferences, your mortgage payment may include an impound account that covers taxes and insurance. This provides the convenience of not having to worry about paying a large sum for taxes twice a year. However, you can choose to pay these separately if desired. We will explore the options together to determine what suits you best.
What is an HOA?
HOA stands for Homeowners Association. Each HOA has its own set of rules and regulations, accompanied by a monthly fee. Some HOAs cover expenses such as community pool and clubhouse maintenance, as well as front and community landscaping. However, this varies between communities. It is essential to thoroughly research the HOA rules and regulations of a prospective home to understand its features. HOA fees are considered when qualifying for your home.
What is Mello Roos?
Mello Roos is an additional tax that may apply to specific newer communities. It can impact your buying power, and we will help you assess what makes the most sense based on your needs and budget.
At Hare & Associates, we are dedicated to providing you with the information and support you need as a first-time homebuyer. Contact us today at 805.330.9010 or homes@hareassociates.com, and let our expertise guide you towards making the best decisions for your future home.
