First Time Home Buyer Loans
Being a first-time homebuyer may appear overwhelming, but it doesn’t have to be!
Being a first-time homebuyer may appear overwhelming, but it doesn’t have to be! Our mortgage bankers can’t wait to help introduce you to the world of homeownership. With their help, we’ve created this step-by-step guide to walk you through the process of purchasing your first home.
Step 1: Check Your Credit
How’s your credit? Your credit score and history play a major role in obtaining a mortgage. Before you begin the loan process, conduct a credit check-up of your own. The three major credit reporting agencies normally allow one free credit report per year, but during this time you may receive a free report weekly. If your credit score needs some work, take the opportunity to work on it before you begin the pre-approval process. Continue to pay all your bills on time, and confirm there are no discrepancies on your credit report.
Step 2: Pre-approval* and Down Payment
Getting pre-approved is the most important step of the homebuying process. This will allow you to create a budget and price range during your homebuying journey. During the pre-approval process, your mortgage banker can provide you with possible down payment programs that may work for you. Some of these programs may even offer as little as 1% down**!
Step 3: Start Shopping
Once you’ve been pre-approved, the home shopping may begin! Be sure to stay within your price range and find a home you’re comfortable in, physically and financially. Make sure you have a plan B, and maybe even C, just in case your offer is not accepted. Never fall in a love with a home out of your price range!
Step 4: Finalizing the Sale
Congratulations! Your offer has been accepted and you’ve found a home. Now it’s time to take the final steps of your home transaction.
Once your purchase agreement has been executed, we will begin to finalize your loan process. Additional documents may be required, so make sure you have all paperwork in a safe and secure place ahead of time.
The final loan amount and down payment requirement will also be determined at this time.
Before you begin moving in, a home inspection must take place to ensure the home is safe and within code.
Having a contract contingent on the home inspection for a detailed evaluation of your home’s infrastructure could help you out in the long run should anything go wrong.
We’ll take care of the rest when it comes to the title and appraisal process.
Step 5: Welcome Home
Sign the documents at closing and you’re officially a homeowner!
We wish you luck on this new and exciting journey.
*Pre-approval is based on a preliminary review of credit information provided to CMG Home Loans which has not been reviewed by Underwriting. Final loan approval is subject to a full Underwriting review of support documentation including, but not limited to, applicants’ creditworthiness, assets, income information, and a satisfactory appraisal.
**Eligibility subject to program stipulations, qualifying factors, applicable income and debt-to income (DTI) restrictions, and property limits. CMG Home Loans is not affiliated with any government agencies. These materials are not from HUD or FHA and were not approved by HUD or a government agency.
