Hi,
I am planning to buy my dream home next month. Well, if everything goes as planned then this would be my very first buying as far as such a big thing is concerned.
Well, I am gathering all the information regarding first time buyer deals on Internet.

Actually, I read that there are some formalities involved in it. I hope that it wouldn’t take much of my time, as I can’t afford to do that due to my busy schedule.
One of my friends suggested me about this forum. I hope to get all the relevant information related to First time buyer mortgages or first time homeowner loans from this forum.

I hope I’ll get some valuable suggestions and tips from this forum also.


Thanks

There are loads of mortgages open to First Time buyers, do you have a deposit?
I am happy to help you as I am a mortgage adviser and if you wanted me to do your mortgage for you I would not charge a fee.
Either way I am happy to advise you.

Stevo

Hopefully we should be able to provide some useful info here - currently doing that myself.

Also, just writing up a thread about dangers with taking out a mortgage - simple traps to fall into.

And hi stevo - welcome to The Finance Forums.

Thanks Brian. It can be a scary market for FTB's but I would advise seeing an Independent Mortgage Broker who can offer the best advice from the whole of the marketplace.

I ended up going with the financial advisor at one of the Your Move branches - she was the only person who made sense, as many of the high street banks simply put me onto low-end staff who couldn't answer my questions. The woman at Your Move was able to answer and advise on everything I needed.

They act as a brokerage, so there was a choice of options, and although the first one we went for wouldn't take me on because I didn't have enough of a credit rating history, she offered a second choice that seems to be working out.

The good news is many businesses are moving to a relationship salemenship - what thet means is they are becoming more concerned about keeping you as a long term custimer as less ocncerned about an immediate transaction. It's a seed planting concept that is reaping long term rewards for those that are putting people first.

First time homebuyers usually get a rate that's not too bad. You have the opportunity to purchase your home for little to nothing down. Perhaps you have heard of Freddie Mac and Frannie May. They are a buyers best friend.

My brother used frannie may when he bought his first house and got a really great rate of payback. He also didnt have to put to much down. It was a really nice deal.

Be prepared to sign lots and lots and lots of papers! We even had to sign a paper that said we agreed to come in and sign other papers if they needed up to. It was crazy.

My suggestion would be to not rush it. Shop around, take notes and remember that all similar looks at your credit within a certain time frame will only show up as one hit so you won't take a credit report hit for checking with multiple brokerages.

Congrats on your dream home purchase! I did the same two years ago and the feeling is just as thrilling as the day I moved in. As for advice, my best advice would be to prepare to have to go back for paperwork a lot more often than you thought you may need to. Each time I thought that would be the end of it, but soon they needed something else from me... some other paper, a signature, cancelled checks... it was always something. Definitely worth it, though!

OH! I hadn't realized that you wrote this in August... did things go as planned for you, jakenathan?

The best way out is to do a research on the Internet, you will get all the information you need, and one weekend will do it. Because you can get assistance from the government if you are a first-time homebuyer and that could amount to $5000 depending on your state if you are in the USA, which will cover the closing cost. There are so many things like seasons to buy and not to buy, how to choose an agent, the inspection process you have to know so that you are not buying a high maintenance house. The list is long.

Congrats on your dream house purchase or soon to be purchase!

I hope you've got some extra time on your hands though as a mortgage is VERY serious,You would need at least a good half hour free to speak with somone either in person or on the phone because this sole purchase will stick with you for the rest of your life. its not really something to breeze through.

I am a Mortgage Banker and would be more than happy to assist you in a timely and professional mannor please feel free to contact me with any questions you may have


William Clifton

For a first time home purchase, choose a reputable lender. That is crucial. When I say "reputable lender," I'm thinking about a credit union, local bank, or bigger bank.

Mortgage brokers and you are at odds with your purchase. You want the lowest rate that you can get, right? Brokers want to give you the lowest rate that you'll accept. They are commission sales people just like carsalesmen and insurance salesmen. They make money on the rate that you accept above the minimum, also called a par rate.

Generally, an increase by the mortgage broker of a half point above par will give them a 1% commission on the sale of the loan (1% of $150,000 loan is $1500). That is essentially what you are doing - you are buying a mortgage. You are buying a house with a mortgage that you are also buying.

When you compare rates, make sure that you are comparing apples with apples. Lenders are required to give you a Good Faith Estimate of the terms of your loan within three days of your application. What they are not required to do is explain everything to you in terms that you can understand and disclose every little, last flipping detail about your loan. Actually, they are supposed to do this - BUT few will. They want you to take their deal, close the loan, and put a commission check in their pocket. Down the road when you find out that you have a loan that did not match the terms that you discussed and agreed on, your broker will be long gone.

Just be careful.

congrats on your new home purchase. its nice to here some good news for a change.