Purchasing a home for the first time is exciting! Whether you are searching for a home for sale in Lake of the Woods, around Spotsylvania county, or beyond, the home buying process can also feel a little like riding a roller coaster. There is the downhill excitement of looking at different homes, the stomach dropping dips of writing an offer, and the uphill anticipation of clearing contingencies. But, in order to get on the roller coaster, you’ve first got to wait in line. Make your wait in line shorter when you are ready to buy your first house by being prepared.

1. Save Money Start saving for a down payment! It’s a big chunk of money you’ll need at closing but having a larger down payment can help stretch your budget. There are also other home buying costs that you will incur, so it’s good to already have the cash in hand.

2. Check Your Credit You may not want to do a credit report, but if you know that you have a balance on a credit card or car loan then consider paying these off. When you want to buy your first home, it is important to keep your credit card debt minimal. Keep consistently paying your bills on time. Although it may sound strange, don’t cancel any credit cards because this can negatively affect your credit score.

3. Start collecting financial documents If you plan on getting a mortgage for your home purchase, then your lender is going to need a lot of financial documents from you. They will likely want these documents in a very timely manner. If there is more than one person applying for the mortgage, then each person will have to submit these documents. Save yourself some stress by pulling together the most commonly requested documents:

  • Two years of tax returns
  • Pay stubs, W2s, or 1099 (for self-employed individuals)
  • Rent History: If you rent, you may need to provide canceled checks or other proof that you’ve paid on time.
  • Bank statements from all accounts (They will want the most recent ones.)
  • Gift letters: If you are getting a large chunk of money from a relative or friend to help you finance the purchase, a lender will want a letter showing that the money is a gift.
  • Divorce Decree This is to confirm that you do or not have to pay child support
  • ID: a copy of a driver’s license or state issued id.

4. Find a lender You can’t start shopping for a home before you know how much money you have to spend. Talk with several different lenders and choose one that has a loan program that is best for you! Your lender might even be able to give you some tips for improving your credit score or improving your loan amount!

5. Get Pre-Approved! Once you’ve picked your lender, get pre-approved! It’s important to have this letter so that you can immediately put in an offer when you find a home you love.

6. Find a Realtor® Hey! I know an awesome one! Don’t be afraid to interview several real estate agents. You are looking for one who is responsive, understands your needs, and is a great negotiator. Here are some questions to ask.

Having all these documents and completing your research can help you feel more prepared to buy your first home. Looking for more specific information about the home buying process? Grab my free home buyer’s guide!