Buying a house for the first time is a thrilling achievement and, for many people, the fulfillment of a lifelong dream. However, making the single largest purchase of your life can also be intimidating. The complex real estate process can be overwhelming to first-time buyers. If you’re preparing for this decision, understand what you’ll need to do before looking at any houses.

An Introduction to Buying Your First House

How do you set a budget?

Knowing how much you have to spend will help narrow down your options and ensure you’re financially comfortable in your new home. Your mortgage payments shouldn’t take up more than 25% of your monthly paychecks. 

How much do you need for a down payment?

Most mortgage lenders require you to put down at least 20%, but special Federal Housing Administration programs may allow you to buy a house with down payments as low as 3.5%. As a general rule, the more you put down, the lower your interest rate and monthly payments will be.

Should you get preapproved for a mortgage?

Applying for financing is often the most confusing part of buying a house, especially for those who haven’t done it before. When you get preapproved for a mortgage, a lender looks at your credit score and spending history to determine the amount of loan you qualify for. Preapproval shows home sellers that you’re a reliable buyer, and they’ll be more likely to accept your offer.

Should you get an inspection?

Even if you have the option to waive the inspection, you should still have the house evaluated by a professional before closing the deal. Otherwise, you may wind up paying more than you bargained for if the house has a serious defect.

A thorough inspection can detect hidden problems such as leaky pipes or a damaged foundation that you may be able to work into your deal. In North Carolina, all home inspectors are required to be licensed.

For over a decade, first-time homebuyers have relied on Jay Brower - Allen Tate Realtor in Greensboro, NC, for help finding the home of their dreams. This realtor is dedicated to bringing a personal touch to real estate and takes pride in knowing the Triad Area market like no one else. Visit his website to browse properties for sale or call (336) 337-1887 to discuss buying a house with one of the area’s best real estate brokers.