Things To Keep In Mind As A First-Generation Homebuyer

So you have decided that you want to settle down and buy a house. Maybe you have already started looking into engaging with the various real estate companies in Dallas. For a first-generation home buyer, someone who grew up in something like an apartment, it's natural to have some hesitation or misunderstand some things. This guide will cover some of the broad stroke considerations you should be making.

Consult with a Real Estate Pro

You should never hesitate to reach out to a trusted advisor early on in the process of buying a home. Agents can help you find the right home for your needs and budget, answer many of your questions, and offer their expertise in domiciles to your case.

One data set from the National Association of Realtors (NAR) asked first-time homebuyers how helpful they perceived their agents. The results of this survey indicated the following.

• 85% of them had a better understanding of the home-buying process because of an agent.
• 64% reported that their agent informed them of issues or other flaws in the property.
• 52% reported that their agent helped negotiate a better deal on the property.

As these reports indicate, an agent is a precious informational resource during buying a home. A good agent will make sure you are not clueless, assess the state of a property, and can even negotiate a more favorable contract. While these aspects are not the only things an agent can do for you, having one reliable source to cover them all is a boon.

Research And Figure Out What's Affordable

Get your finances in order, look over your budget and try to get pre-approved with a lender. The research component entails discerning what you need to put down to buy your home, including the down payment.

Many people have become duped into thinking a 20% down payment is a requirement to buy a home rather than a useful idea. Indeed, the median down payment on homes among first-time buyers is 7%, nearly half of the 13% when you broaden payments to consider all homebuyers. Bear these percentages in mind and that home may be closer than you imagine.

Remember What "Home" Means

You have a lot going on and that can cause you to lose sight of why you wanted to buy a home in the first place. First-generation homeowners understand the monetary and immaterial benefits of owning a home.

• 73% of first-generation homeowners reported that the greater security of owning a home was greatly valued.
• 2/3 first-generation homeowners indicated that the value of building equity within a home was also a premium.

Some experts have remarked that first-generation homeowners see their homes as a testament to having overcome financial hardships that can span more than a single generation.

Closing Out

First-generation homebuyers should come to the task prepared and with a trusted agent. Having a reliable realtor and a thorough understanding of your finances is key to owning instead of renting.