Get Out of Your Rental and Into Your Own Home
If you’ve been renting and waiting to buy your first home, now is a good time to make your move.
A number of industry analysts predict that interest rates will rise slightly over the year while continuing to stay very affordable. Home prices are also expected to rise, now that more buyers are again competing for houses for sale.
But rental rates are rising and expected to continue to rise even more—as much as 20% in some communities—making it smart and cost-effective for first-time buyers to consider homeownership. Real estate website Trulia found it is cheaper to buy than to rent in each of the nation’s 100 biggest metropolitan areas.
If you’re thinking about making the big move, do this now:
- *Check your credit reports for accuracy. Go to annualcreditreport.com and request your free credit report. You are entitled to free credit report from each of the credit bureaus, Experian, Equifax, and TransUnion, once per year. If you find errors or omissions, fix the problems as soon as possible.
- *Prioritize on what you need from your new home. Consider your lifestyle and future plans when picking out a home that is right for you. Ask yourself questions like, “how will I be spending my time at home?”, “Will this homework for a family?”, and “how will this home affect my career plans?” Each homeowner has their own specific needs, but don’t overlook aspects such as personal space, school districts, or possible career changes when choosing a home.
- *Review your savings. You will need money for a down payment as well as for the transition expenses of moving and setting up a new house. If your savings aren’t up to snuff, make that your priority for the next several months. Also keep in mind that you will need savings for any potential home repairs that will come along in the future.
- *Talk to a Fitzsimons Credit Union Mortgage Specialist about prequalifying for a mortgage. This is the step just ahead of preapproval—it makes it possible for you to begin shopping for a house with your eyes wide open about what you can really afford. Your Mortgage Specialist can help you prepare for the home buying process and help you line up your finances for success.
- *Shop around to find the perfect home that is right for you. This is often considered the most difficult part of the homebuying process, but is also the most rewarding. If you need a little extra help, check out our Realtor partners. They are experts who can help you save time and money. Be sure to ask about the discounts they offer exclusively to Fitzsimons members.
- *Once you have picked out your home and financing options then it’s time for the big move. There are lots to do around this time, but a good plan can help minimize the stress you may encounter during the moving process. Check out our moving checklist to help guide you as you prepare for your new home.
Ready to get started? We can help you get started on the lending process. Call (303) 226-8509 to speak with a Mortgage Specialist or apply online to get started.