Housing News: What First-Generation Homebuyers Should Know
Even if no one else in your family has been a homeowner and you don't have access to family assistance, you can still achieve the American dream and own a home. As a first-generation homebuyer, you can establish a financial foundation for your family as well as future generations.
Becoming a first-generation homebuyer isn't without its challenges, especially if you don't have down payment assistance or guidance in the home-buying experience. The first hurdle you need to take is getting over the belief that buying a home is difficult and unattainable. Just because your other family members didn't purchase a home, it doesn't mean that you can't and it's much easier than you think.
First, you need to take account of your finances. A low credit score doesn't immediately disqualify you from buying a home, but you should note that the higher your credit score, the higher the chances of you attaining a lower interest rate. This can translate to saving tens of thousands of dollars over the lifetime of the loan.
Once you're ready to purchase a home, get preapproved with a mortgage lender. Doing so can give you an estimate as to how much you can borrow, and it shows that you're a prequalified buyer. Once you're ready to take that leap, contact a real estate professional, and you'll be on your way to owning your own home.
Sources: Home.com, Keepingcurrentmatters.com