Buying a home for the first time is a major step in a person’s life. This major milestone can cause certain anxieties. One common denominator amongst first-time homebuyers is fear. While there are many fears that some first-time homebuyers have, I’m going to cover the top three.

1. The first fear involves finances. Money is a major factor that attributes to fear. Many first-time homebuyers feel that they can’t afford to buy a house. This could be due to income or lack of savings.

What can be done?

While buying a home can be expensive it can also be affordable. All it can take is doing some research and a little budgeting. There are several home loans with little or no down payment. Potential buyers can also take financial management classes or get a financial management advisor to help plan with home buying. Lastly, the average rental payment is much more than many mortgage payments.

2. Another fear that first-time homebuyers have is worrying about credit. Credit score affects interest rates and lenders willingness to approve home loans. Bad credit is a major factor that can keep a person from being able or attempting to buy a home. Although it makes the lending process more difficult it does not make it impossible.

What can be done?

One thing that a potential homebuyer can do is to review his/her credit report. Mistakes are very common on credit reports and many people are unaware that they exist. Many of the mistakes are correctable and can be disputed. These factors can hurt a person’s credit score. Once corrected a person’s credit score improves. Getting with a good lender is another step a potential homebuyer can take. Many lenders specialize in helping their clients improve their credit score.

3. The third fear that first-time homebuyers have is the fear of the unknown. There are many phases to the homebuying process and it can become overwhelming. When a homebuyer is unfamiliar with the process the fear can amplify.

What can be done?

A potential homebuyer should find a knowledgeable real estate professional to educate and walk through the entire process with him/her. The real estate professional will answer all the client’s questions and be there for the hard stuff. They don’t have to do it alone.
Although buying a home for the first time can be scary it can be stress and worry free when you do your research and get the right person in your corner to assist.

By Georgette Bennett, buyer specialist with JTR Team

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