To-Do List for First-Time Buyers

1.  SAVE

• Down payment.
• Closing costs.
• Escrow for insurance and taxes.

2.  IMPROVE CREDIT SCORE

• Stay current on bills.
• No major purchases.
• Don't cancel any credit cards.
• Higher credit score = lower interest rate.

3.  CALCULATE what we can afford

• bankrate.com/calculators/mortgages/new-house-calculator.aspx

4.  GET MORTGAGE PREAPPROVAL

• Shop for the best deal.
• Choose primary and backup lenders.
• Mortgage advice - hud.gov/buying/booklet.pdf

5.  DECIDE what we ant in a home

• Checklist - hud.gov/buying/wishlist.pdf

6. CHOOSE A REALTOR

7. VISIT HOMES

• Take photos, make notes.
• Home shopping checklist - hud.gov/buying/checklist.pdf

8.  NARROW CHOICES

• Visit neighborhood during day and night to gauge traffic, noise, etc.
• Test commute.
• Consider resale value.

9.  MAKE AN OFFER

• Common contingency opt-outs:
• if home appraises for less than mortgage
• if inspection reveals flaws owners won't fix
• if you lose your job before the deal closes

10.  SCHEDULE HOME INSPECTION

11.  MAKE FINAL WALK-THROUGH

• Test light switches, sockets.
• Check that windows and doors work.
• Test faucets, drains, toilets

12.  CLOSE AND MOVE IN!