First-time homebuyers have many questions. How much home can I afford? What types of features should I look for? Who’s the best lender? Where are the best school districts? Is their credit score good enough to qualify?
FIRST-TIME HOME BUYER’S CHECKLIST IN MARYLAND
In a competitive market where homes can fly off the market in a week or less, it’s essential that buyers come to the table prepared. Here’s a list of steps every first-time homeowner should consider in their search.
STEP 1
MAKE SURE YOU’RE READY TO MAKE THE MOVE
- Do you have a stable job?
- Do you plan to live in the same location for at least the next 5-10 years?
- Are you prepared to accept the responsibilities of homeownership?
STEP 2
CREATE A WISH LIST
- Rank what’s most important to you:
Location: Suburbs, city, or country?
Size: How many bedrooms/bathrooms? A yard?
- School district
- Public transportation
- Commute distance/time
- Rental income opportunity
STEP 3
DETERMINE YOUR FINANCIAL STATUS
- Request your credit report from all three credit bureaus (Equifax, Experian, and TransUnion). Correct any credit errors ASAP.
- Estimate your down payment. A 20% down payment is ideal to avoid paying private mortgage insurance.
- Calculate approximately 3-6 months’ worth of emergency funds for unexpected maintenance
STEP 4
COLLECT YOUR NECESSARY DOCUMENTS
- Gather proof of employment, including pay stubs and tax returns from past
two years. - Print bank and investment account statements from the past 90 days.
- List your previous addresses of residence and current landlord’s contact information.
STEP 5
RESEARCH LENDERS AND MORTGAGE OPTIONS
- Gather quotes from lenders, comparing rates, fees, and terms.
- Get pre-qualified for a loan to show sellers you’re serious.
- Obtain a pre-approval letter.
If you are looking for a real estate agent, realtor, and lifelong real estate partner contact a Reliable Investment Consulting agent today at 301-823-5800, hire an experienced team of a real estate professionals in the Washington, DC, and Maryland marketplace
