Your First Home, Sweet Home

Thinking about buying your first home? Origin’s mortgage lending team knows firsthand how exciting this stage of life is. That’s why we’re here to offer guidance, expertise, and plenty of resources to make your dreams of homeownership come true.

Ready to get started? Here are six proactive steps you can take to kickstart the process:

Start saving now for a down payment. The rule of thumb is 20 percent down, though many first-time homebuyer programs allow much less. There are pros and cons to both smaller and larger down payments. Either way, it will require considerable savings, so start as soon as possible. Consider setting aside tax refunds and work bonuses. Set up an automatic savings plan. Even if you put away just a little each month, financial discipline pays off.
Get your finances in order. Your credit history is critical in the homebuying process. It’s a big factor in determining whether you get approved for a loan, as well as setting your interest rate. That’s why it’s so important to keep your credit score as high as possible until your home loan closes. Avoid opening new accounts for credit cards or car loans. Start working now to dispute and resolve errors on your report. And make sure you’re sending in at least minimum payments on time with your current bills.
Figure out a price range. Knowing what you can afford before you start looking goes a long way toward making the homebuying process as simple as possible. Set a price range based on your monthly income and debt capacity to make decisions easier. This helps you avoid complications as you move through the process. Need a hand? Origin’s financial calculators are a convenient and helpful way to figure out your price range, and they’re free for anyone to use.
Talk to a lender about getting prequalified for a mortgage. When you know upfront what kind of buying power you have, it’s easier to make informed decisions. Make an appointment to talk to a lender who can help you examine your finances pretty thoroughly to get an accurate picture of what you can afford. If you are prequalified, you’ll have written confirmation of how much you can borrow, which will not only help you to choose the right home but also carry more weight with sellers in the negotiation process.
There’s nothing wrong with window shopping. Ready to start looking, but not ready to commit? An open house is a great place to start your search, so go to a few ‒ even if you’re not ready to buy. What do you notice about the home’s condition? How old is it? Have repairs, replacements, or updates taken place, especially with the air and heating system? Get comfortable asking those kinds of questions before finding a property that does interest you.
Get familiar with location research. Whether you’re looking for family-friendly amenities, walkability, or nearby shopping options, location research can help you find an area that meets your needs. Even if you don’t have kids, are there nearby schools that can affect property values? What’s traffic like during peak drive times? Are there nearby services you need, like grocery stores, cleaners, gyms, pharmacies, etc.? What are local crime stats? How do they compare with other neighborhoods, and how are they trending? These are some of the variables you’ll need to evaluate and balance when making your choice.

Buying your first home is an exciting milestone. But with so many factors to balance, it can also seem like a huge undertaking. Luckily, Origin bankers help people every day to buy their first homes. We would love to help you, too! Get in touch with Origin today, and let’s make your home-buying dreams come true.

Buying your first home really is exciting. It also seems like a big job, but Origin bankers help people every day to buy their first homes. We would love to help you, too! Get in touch with Origin today, and let’s make your home buying dreams come true.