Buying a home in Arizona feels exciting! However, it is often one of the overwhelming experiences, with many people not knowing where to start.
Here is a complete beginner’s guide to buying a home in Arizona.
- Start saving for the new house and pay off all debt
Owning a house in Arizona is expensive. In fact, property ownership is considered costlier than even renting a property. This is considering that owning a property means that you pay all the associated maintenance costs. The property maintenance costs can build-up so fast. Thus, it is advisable that you start setting aside an emergency fund that you can rely on at the time you are repaying the St George Home loan.
If you are debt free, the best mortgage lenders in Utah will consider your home mortgage application, approving it without much hassle. Even better, the mortgage down payment can be made using partial savings, making you more attractive to the best mortgage lenders in Utah.
- Determine how much house you can afford
A serious mistake that I always advise homebuyers not to fall into is being emotionally attached to a beautiful house that you cannot afford. Therefore, before you set out for home searching mission; establish how much you can afford as mortgage repayment. Check your monthly budget and remember to deduct outstanding debts in order to calculate the affordable mortgage repayments. Remember to factor the cost of home maintenance and the insurance amount.
- Save a Down Payment
If saving up cash to buy a property is not reasonable based on timeline and current income, ensure you can save at least 20% down payment. This is calculated based on the total cost of the property you are considering to purchase. The best mortgage lenders in Utah will help you to calculate the required down payment. Thus, talk to the loans officer to get a sense of how much you are required to pay as down payment.
- Consider different Arizona Home buying Programs
First-time homebuyers usually have trouble finding a mortgage because of the credit history issues. In addition, if you are struggling to raise the 20% down payment in order to find a conventional mortgage, you can apply for funds through different Arizona home buying programs.
Research the available Arizona home buying programs and choose the one that best suits your requirements. Good examples include:
- The Federal Housing Administration Loans
- The Veteran Affairs home buying program
- USDA loans
The loan officer can help you choose the most appropriate home loan program depending on your requirements.
- Do not forget to save for closing costs
You need the closing costs along with the down payment. On average, the closing costs will range between 3%-4% of the property purchase price. The specific lender will give you an amount depending on the agreements when applying for a loan. It is advisable that you save for the closing cost soonest possible.
- Get Pre approved for the St George home Loan
St George Home Loan pre approval is an important step before you start shopping for a property. Once you have the pre approval letter, you stand better chances of securing a property that meets your requirements. The preapproval letter signals to the property seller that you are a serious homebuyer.
- Involve a real estate agent
It is unfortunate that first-time buyers do not see it as necessary involving a realtor when it comes to buying a property. Some hold the thoughts that they will be expected to pay the real estate agent. The reality is that it costs you absolutely nothing to hire a buyer agent. The seller will pay a commission to the agent! There are different advantages of involving a real estate agent when purchasing a property. These include:
- The real estate will help you identify the best properties that meet your requirements
- Real estate agent will pay attention to detail while ensuring your privacy and confidentiality
- Agents have a vast understanding of the are you intend to purchase a property
- Take advantage of the superior negotiating skills
- Consider the real estate agent as the pricing expert
- The Realtor will tackle the paperwork
Therefore, make sure you find a reliable and experienced real estate agent to enjoy maximum benefits.
- Attend open houses and think long-term
Involving the realtor does not mean that you stay away! Consider the real estate agent as a helper, who you need to work closely with. Therefore, make sure you attend the open houses, and think long-term. During the open house, consider the properties “Must Have” features. Consider the things you will need in the long terms and make sure you research the neighborhood. Pay close attention to proximity to important amenities, roads, available transportation options and security.
Buying a home in Arizona does not have to be an overwhelming experience. Make sure you take the tips we have looked at above into consideration. This way, you will enjoy an easier experience searching for a property.
