Buying your first home is exciting. But it can be stressful, too.
Between fierce market competition, sticking to your budget and navigating the homebuying process, it’s no wonder first-time homebuyers are feeling overwhelmed.
New buyers aren’t only stepping into a competitive and ever-changing market, they’re also learning as they go. The reams of paperwork and new terminology – think “escrow” and “amortization” – create an additional set of obstacles for those looking to buy their first home.
So where do you start?
We talked with four Sunrise Banks lenders who offered some advice for first-time buyers. Here’s what they had to say.
When is the Best Time to Buy?
“I always get asked when the best time is to buy. The best time to buy and the best advice I can provide is whenever YOU are ready. This is a personal path that you individually need to take.” — Andrea Altamirano, VP Mortgage Loan Officer
Get Prequalified and Work with the Right Realtors
“Before you start looking to purchase a home, you should get pre-qualified by one of our Sunrise Banks mortgage lenders. First-time buyers should also think about taking a first-time homebuyer course approved by Fannie Mae if you have never purchased a home before or it’s been a while since you purchased a home.
“You should also work with a qualified, experienced realtor who has sold homes in your price range and is knowledgeable about the market in areas you are interested in purchasing a house.” — Coreen Ricci, VP Mortgage Loan Officer
Make Sure You Know What You Can Afford
“Make sure you know how much you can afford to pay for your housing expense. What you can afford and what you are qualified for are two different things. You have to be able to save money for home repairs and other expenses. They add up fast and they are guaranteed to happen.” — Jeffrey Stensland, AVP Mortgage Loan Officer
Be Aware of Different Processes If You’re Self-employed
“If your down payment and closing cost funds are coming from a business account, let your loan officer know, as a different process is required. You will have to demonstrate that the removal of the funds will not affect your business operation. It is best to have the down payments and closing cost fund in a personal account rather than a business account. Both are acceptable; they just require different processes.
“If you’re a self-employed borrower, it’s important to let your accountant or tax preparation service know that you are getting ready to purchase a home or are in the process. Your tax returns are a big part of this process. This will give you the opportunity to review your deductions and your net profit income prior to finalizing and submitting your tax returns.” — Rocio Gomez, Junior Mortgage Loan Officer
We’re here to Help
Sunrise is running a summer mortgage special through August 31, 2022, that offers $500 off closing costs for eligible applicants. Learn more here.