Not sure what things you need to buy a house for the first time? Buying your first home in Colorado Springs is an exciting milestone, but it requires careful preparation and understanding of the home-buying process. Whether you’re looking at a starter home in Briargate or a condo downtown, knowing exactly what you need before beginning your home search is crucial for success.
In this blog post, Colorado Springs real estate expert Barb Schlinker and the professionals at Your Home Sold Guaranteed Realty - Barb Has the Buyers Team will discuss what things you need to buy a house for the first time.
Key Takeaways:
- Strong credit and a stable employment history are essential foundations for first-time home buyers.
- You’ll need documentation proving your income, assets, and ability to make a down payment.
- Working with experienced local professionals can help navigate Colorado Springs’ competitive market.
- Understanding the costs beyond the purchase price is crucial for successful homeownership.
What Are The Things You Need to Buy a House for the First Time? – 6 Things
1. Prove a Stable Income and Employment History
Top Colorado Springs realtor Barb Schlinker explains,
“One of the first things lenders look at is your employment stability. They want to see at least two years of consistent income and employment in the same field.”
This means having verifiable income through pay stubs, W-2s, and tax returns. If you’re self-employed, you’ll need even more documentation to prove your income stability. Keep records of all income sources and be prepared to explain any gaps in employment.
2. Build a Strong Credit Profile
Your credit score plays a crucial role in both loan approval and interest rates. Check your credit reports from all three major bureaus and address any errors or issues at least six months before applying for a mortgage.
Most lenders require a minimum score of 620 for conventional loans, but higher scores can help you secure better rates. In addition, avoid opening new credit accounts or making large purchases while preparing to buy a home.
3. Save For a Down Payment and Other Expenses
Having sufficient savings is crucial for home-buying success. While you don’t always need 20% down, having a substantial down payment can strengthen your offer in Colorado Springs’ competitive market. It can also help you avoid paying private mortgage insurance.
Beyond the down payment, you’ll need money for closing costs, moving expenses, homeowners insurance, property taxes, and an emergency fund for unexpected repairs.
Consider setting up automatic savings transfers to build your down payment fund consistently.
4. Gather Essential Documentation
Organization is key when preparing to buy your first home. You’ll need to gather various documents including:
- Two years of tax returns
- Recent pay stubs
- Bank statements from the past few months
- Proof of assets and debts
- Rent payment history
- Valid identification
5. Hire Professionals
Finding a trusted local realtor who understands Colorado Springs’ unique market is essential for success. You’ll also need a reliable lender, home inspector, and real estate attorney.
Interview multiple professionals and choose those who communicate well and understand your needs as a first-time buyer. Barb Schlinker notes,
“Having the right team of professionals can make your first home purchase much smoother.”
6. Market Knowledge and Expectations
Educate yourself about the Colorado Springs real estate market before beginning your home search. Understand current market conditions, average home prices in different neighborhoods, and typical time frames for closing.
You should also research local property tax rates, utilities, and HOA fees if applicable. This knowledge helps you make informed decisions and set realistic expectations for your home search. A realtor can provide you with the most up-to-date market information.
Remember that buying your first home is a significant financial decision that requires careful planning. With the right support and preparation, you’ll be well-equipped to navigate the path to homeownership in Colorado Springs.
Barb Schlinker is the Best Realtor in Colorado Springs
If you’re looking for the best realtor in Colorado Springs, look no further than Barb Schlinker and our team at Your Home Sold Guaranteed Realty - Barb Has the Buyers Team.
Throughout our 27-year-long career, our Colorado Springs real estate agency has developed a reputation for high-quality customer service. We also provide a stress-free experience thanks to our VIP Buyer Program. With this program, you get curated property hotlists, free home-buying resources, and our unique Buyer Satisfaction Guarantee.
To learn more about buying a house in Colorado Springs with our team, reach out to us today at 719-301-1802 or [javascript protected email address]. We can help you find the best Colorado Springs homes for sale today!
To Discuss Your Home Sale or Purchase, Call or Text Today and Start Packing!
Pre-qualification is an informal estimate of how much you might be able to borrow, based on information you provide about your finances. Pre-approval is a more formal process where a lender checks your credit and verifies your financial information to determine how much they’re willing to lend you. Pre-approval carries more weight with sellers and is often required to make an offer on a home.
How long does the entire home-buying process usually take?
The home-buying process typically takes 2 to 3 months from start to finish, but it can vary widely. This includes time for house hunting, making an offer, getting approved for a mortgage, conducting inspections, and closing the deal. However, the process can take longer if you’re in a competitive market, face issues with financing, or if there are complications with the home inspection or appraisal.
