Buying your first home can be both exciting and scary at the same time. At the very first mention of buying your first home, suddenly there are real estate agents, insurance agents, friends and mortgage lenders who seem to appear willing to help.
Yet knowing you want to buy your first home and finding out how to do exactly that can be two very different things. How much can you afford? Or better yet, how much do you want to pay each month for a house payment? Is your credit good enough? How much money will you need to put down? What mortgage program will fit you best? 100% USDA Rural Housing, FHA, VA or Conventional mortgages? Buyers can learn more about all the loan options under the loan programs tab above.
These are all legitimate questions and the fact that you’re asking them means you’re ready to take the next step: getting preapproved as a first-time homebuyer. North Carolina has a tremendous advantage for first-time homebuyers right now due to the availability of quality homes on the market and the current low-interest rate environment which allows you to afford a larger home than say just a few short years ago.
To get pre-approved for a home loan, you’ll need to speak with a loan specialist who will walk you through the process:
- Initial Interview
- Complete an Application
- Review Your Options
Initial Loan Application Interview:
First time home buyers need a quality loan officer, someone who knows how to communicate the pre-approval process well and can answer your questions with ease. The loan advisor will want to know how much you feel comfortable paying each month and often times that amount is similar to what you’re currently paying in rent each month. The loan officer will talk about your goals such as how long you intend to own your first home or if there is a particular area of town or school district in which you’d like to live. During this time the loan specialist will also want to discuss the type of property and things you desire in a home.
Complete an Application:
After the initial review, you’ll be asked to complete a loan application so the loan officer can get a firm grasp on your present situation such as how long you’ve been at your job, your gross monthly income as well as the all-important credit report. Nearly all the information asked will be things you know by heart. Once you apply, your loan officer will review your application and credit report and prepare some options for you to consider.
Review Your Financing Options:
As a first time home buyer, you’ll likely be surprised at how much you can actually afford given today’s historic affordability index. The affordability index is a combination of housing prices, current interest rates, and gross monthly income.
Your loan officer will review your options for you to include not just how much you can afford but also how much you’ll need to provide as a down payment and closing costs when you finally close on your first home.
Finally, your loan officer will provide you with your very first Pre-Approval Letter, a formal letter that indicates to a seller that you are serious about buying your first home, you have applied for a mortgage and your credit report has been reviewed.
Contact Coast2Coast today by calling ph: 904-810-2293 or just submit the Quick Request form at the top of this page. We are pleased to serve all of NC.