How to Prepare for Homeownership


Preparing for homeownership is easy, fun and exciting if you plan and know what will be required.  First make sure that you have looked at your finances and think you can buy.  We have some excellent budgets available for comparing current and proposed expenses.


Here are some other important keys to buying a home.



The prequalification process is easy. Usually it involves some questions about income, expenses (credit cards, car payments, etc.) and money in the bank.
You will want to contact one of our lenders and do that simple step early in the process of buying your next home.


Down Payment:

You will need a down payment of 3.5% to 20% of the home purchase price depending on your loan program.  The more you have for a down payment the better.


Closing Costs:

Closing costs are also a part of buying a house.  As part of those costs you will prepay your new property taxes for approx 6 months and your homeowners insurance for a year.  Ask our lender to figure what those will be for you.  In a buyers market many homeowners will pay for a buyers closing costs when negotiated with your offer to purchase the home.


Good Credit:

The banks want to get repaid for the money that they will loan to prospective buyers.  One way of determining how likely they are the get repaid is by looking at how you have paid other loans, especially when times may have been more difficult.  Good credit with timely payments is the best option.  You won’t be able to have any late payments within the last 12 months and possibly longer depending on the loan program that you choose.  You will want to make sure any collections or judgments are paid before starting the home buying process.


Tax Deductions:

One of the benefits of owning a home is that you get to deduct all of the interest and property taxes from your income taxes.  That makes your home more affordable than you might think.  Many home buyers change their tax withholdings and are able to receive a larger take home pay due to these tax advantages.  Ask our lender for more information on this benefit.


To get started please contact us at:


The participating lenders on this site are motivated to serve you well. Your feedback establishes their eligibility to participate on this site.