How do I buy a house? If you have never purchased a home, then this is likely a question that you have had. The first thing to do is to make sure that your consumer debt is low. This will allow you to have a healthy debt to income ratio. Consumer debt would include credit card debt, student loans, auto loans, and payday loans. Having low consumer debt and showing that you have been a responsible borrower will help your credit score, allowing you to be able to qualify for a home loan. You will also need to show proof of income which will confirm to the lender that you will be able to make the monthly payments. Plan on saving up for a down payment. The amount can vary but it is usually between 3-20% of the purchase price. There are loans that are 0% down but most will still require that you pay for closing costs. Next get pre-approved with a reputable lender. Do your research and make sure you find the lowest interest rates possible. The lower the interest rate, the more you can afford to buy, and the less you will pay in unnecessary interest to the bank. Finally find a real estate agent that knows the area, has experience, and has a good reputation. This will be necessary for a smooth purchase experience. While there are lots of other small steps along the way, these are the major ones to be aware of. The realtors at Pinyon Properties are the best in Boulder City, Henderson, and Las Vegas. When you are ready to buy, sell or invest, give us a call!
