Ways to Make Buying Your First Home Easier

Buying your first home is exciting, but it can feel complex and daunting at the beginning. There are some steps you can take to make the process simpler and more straightforward. Here are our recommendations for navigating the process as a first time homebuyer.

1. Do your research. You can start out by learning everything you can about buying a home. Research different types of homes and mortgages, housing markets, and how the process works. Pay special attention to common pitfalls so you know what mistakes to avoid. If you are not sure where to begin, start with something simple, like looking up the various types of home loans, or finding out what the costs of homeownership include. AI can be a valuable tool. You can prompt it to help guide you through the process so you don’t get stuck in the loop of “but I don’t know what I don’t know.”
2. Take a homebuyer course. You are not actually expected to go through this process entirely on your own with no structure or guidance. In fact, lenders often require first time homebuyers to take a homebuyer course. One easy way you can do this is by taking the Free Certificate Course for Homebuyers offered through Fannie Mae. You can take the course online in English or Spanish. It meets the educational requirements for the majority of mortgage products, and you can go at your own pace. It keeps track of your progress so you know where you left off. You can access it on mobile or desktop. If you are not sure which course you need to take, you can double check with your lender. But if you just want to jump in and get some guidance, Fannie Mae’s program is a great place to start.
3. Use online calculators. One of the best ways to start learning about the financial part of buying a home is to experiment with online calculators. For example, we have a mortgage calculator you can use for free here on our site. You can input the total amount, the interest rate, an amortization rate, and a down payment amount. This will tell you the monthly payment amount. Just don’t forget to add on the other costs of owning a home, like insurance, HOA or condo fees, utilities, property taxes, and repairs and maintenance. And of course, remember to factor in all the other costs associated with living, like transportation, food, income taxes, and so on.
4. Find the right professionals. Buying your first home successfully is much easier once you locate the professionals who can walk you through the process and help you explore your options wisely. Look for an independent mortgage broker with a large network of lenders and a big selection of loan products, along with a dependable real estate agent. If you can, choose professionals who have a lot of experience working specifically with first time homebuyers. They will have a stronger understanding of the obstacles you might face, your goals, and which mortgage products will offer you the flexibility you need.
5. Reach out to friends and family. If you are used to trying to do everything yourself as you navigate your life journey, you might not think to ask for help from people you know. But chances are good you know at least a couple of homeowners among your family and friends. Reach out and let these people know that you are thinking about buying a home for the first time. People who have already successfully navigate the process remember how complex it seemed the first time, and are often willing to answer questions and share their advice. This can be a big time-saver, and also help you feel less overwhelmed.

Buy Your First Home in Chicago

MidAmerica Bancorp can help you buy your first home in the Chicagoland area or throughout Illinois. We also work with homebuyers and homeowners in FL, IN, MI, TN and WI. During the consultation, we can explain the mortgage process, recommend loan products that suit your needs, and answer your questions. To get started, please give us a call at (708) 237-4052 to schedule your consultation.