Guide to Buying A House in the U.S

Elias Hubbard
June 10, 2019

 

So, you’re finally ready to buy that dream house you have always wanted, but you don’t know where to start. Well, you’re not the only one. Buying a home for the first time seems to be an extremely daunting process.

 

I remember my experience, I was confused and trying to search for answers in every forum and blog I could find. After doing quite a lot of research and learning from my own experience, I have jotted down some tips that will guide you to buying a new house in the United States.

 

5 Tips for Buying A house in the United States: -

 

1.    Loans: - Buying a house is not cheap. Unless you make tons of money every single day, you will not be able to buy a house just by yourself.

 

Opting for home loans is a great way to take some stress off your head. Home loans are easily available nowadays and with proper knowledge, you can get one approved in no time.  

 

When opting for home loans, make sure that your bank account does not have a negative ChexSystems record, or just check if your bank is listed here: https://letmebank.com/rhode-island-non-chexsystems-banks/.

 

2.    Know your credit score: - Your credit score plays the most important role when it comes to getting approved for any loan. With a good credit score, you will be easily approved for loans and have the most favorable terms.

 

If your credit score is low, then you will have a hard time getting approved for loans, and even if you do, the interest will be high. You can go to websites like Credit Karma and Credit Sesame to check your credit score online.

 

After checking the score, if you see it is not up to the mark, then start working now. You might not realize this, but a lot could be done in order to fix it. Knowing how to increase a credit score is itself a big topic, try searching for some articles on google to know more on what can be done to improve your credit history.

 

3.    Know your Budget: - There are a lot of costs associated with mortgage apart from the monthly payments. There are things like property taxes, homeowner insurance, mortgage insurance, HOA fees, etc. Thus, before you go ahead and apply for a loan, make sure that you know you can afford it. There are a few calculators available that can help you calculate minimum payments and all, use them and determine your total budget.

 

4.    Get a real-estate agent: - First-time home buyers make a big mistake of not hiring their own estate agent. They often end up working with a seller's agent, and that is a big mistake. Understand that if you hire a seller’s agent, they will be working for him and not for you.

 

They will be looking for the seller’s interest before yours. Thus, always hire a real estate agent that works for you. Real-estate agents do get a good commission, but you need to make sure that it's not going from your pocket. The agent deals with the sales price of the home, and that’s where he makes the commission.

 

5.    Do not get a new credit card: - As I said before, your credit score plays a huge role when it comes to getting the mortgage loan approved and you need to make sure you do not do anything that might lower your credit score. Avoid applying for new credit cards when looking for a mortgage loan as it lowers your credit score.

 

Conclusion: -

There you go, these are the 5 tips that will help you buy a new house in the U.S. Make sure to keep these things in mind, and you will do fine. Good luck!



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