BUYING A HOME: HOW HAS IT CHANGED?
Posted by New Home Resource on August 6, 2018 in
Buying a home is an exciting time. Even more exciting if it’s your first home (holy moly, that is such a thrill!).
If you find yourself lucky enough to be a first-time-buyer, you may have heard a lot of stories about how the process works, what you need financially, and a lot of other advice from friends and family. But times change, and some of the things that were true in the past about buying a home aren’t necessarily true anymore.
So just in case you might have come misconceptions about what happens when buying a home – whether it’s your first home or your seventh home – we’d like to provide a few updates about how the process works these days.
A few ways some things have changed:
Do you need 20% down to get a mortgage loan?
It’s not uncommon for buyers to think this is the norm – because it was for so long. However, there are many new programs and opportunities available to homebuyers who have gone through financial hardships during the past few years, who may not have 20% of the purchase price available, and whose credit may have been dinged by the Great Recession.
These days, the FHA will back a loan from a home buyer with a credit score as little as 500 and a 10% down payment. If your credit score is higher than 580, some lenders can help you with only 3.5% for a down payment! It’s certainly easier to be able to afford buying a home today than many people think. Your best bet? Meet with a mortgage lender for advice – even if you’re just curious about whether or not you can get into your own home, or if not now – what can you do to make it a possibility in the near future? Our recommendation – a local mortgage broker is your best bet – one like Premier Mortgage Lending. Not only will you be supporting a small, local business – but because they ARE local, they know the area and the industry, which can serve you quite well in achieving a smooth and untroublesome transaction.
Can you can save money by not using a real estate agent?
For Buyers – it simply makes no sense not to use an experienced REALTOR® or real estate agent. Yes, they receive a 3% commission. But remember this: The Buyer is not the one that pays that fee – that falls to the Seller. In fact, with the help of your own REALTOR®, you’ll have someone who is able to help you negotiate a better purchase price because of the wealth of knowledge they may possess about that property. They will also take care of all the paperwork, appraisals, inspections, and other matters that are part of the process. Today, there’s no doubt that you need their expertise to guide you through this life-changing transaction.
Is it cheaper to buy a home that needs a lot of renovating?
We’ve all seen the TV shows where people buy a fixer-upper and turn it into their dream home. And thanks to the cameras and bright lights, they make it all seem so easy. But in the end, all of these repairs take time and money. And usually the case is that people end up getting tired of all the renovations and don’t end up loving their new home. Remember then, if you need to tear down the walls to make a home look good – and you lead a busy life like most of us – perhaps unsettling your life for a longer period of time to make major renovations isn’t for you.
If you’re ready to buy your first home, let the professionals at New Home Resource help you make it a reality. We know the Las Vegas valley like the back of our hand – and we’ll be happy to answer any questions about the process and make sure you have the right information going into it.
New Home Resource helps current and future homeowners with all of their Las Vegas real estate needs. Whether your preference is for property management, a newly built home from a local builder, or a resale property in just the right location, a New Home Resource Realtor® is here to provide the service you’re looking for. Please contact a New Home Resource Realtor® today at 702-365-1000 or visit www.newhomeresource.com. Broker Joanna Piette, and agents Denise Thrasher, Jessica O’Brien, Evelyn ‘Beng’ Kern, Kathy Paterniti and Heidi Colón are all here to help!