The Denver real estate market can be a daunting place—especially for a first time home buyer. It’s expensive, fast moving, and competitive. Don’t worry, Homie’s got your back. Read below for seven tips specifically for first-time homebuyers in Denver.
1. Find Out How Much You Can Afford
It’s wise to estimate how much house you can afford and get pre-approved before shopping around.
What to Consider
- How much debt do I have?
- What are my monthly expenses?
- How much do I have in savings? Do I have enough to cover three months of expenses?
- What’s my credit score?
- What’s my monthly income?
Pre-approval is a very important step in the home buying process and knowing how much you can afford, and Homie Loans™ makes it easy! There are tons of benefits to getting pre-approved.
- Know exactly what you can afford
- Make a stronger offer – showing you are already qualified to own the home makes you a stronger buyer!
- Fewer surprises and delays in the process
- Work with a Homie agent and get up to $2500 back in your pocket*
2. Create a Wants vs. Needs List
You may not be able to afford your dream home now, so it’s important to make a list of non-negotiables vs. nice-to-haves. Where you’re at in your life right now may not require you to have three extra bedrooms or be in the exact location you want—but that’s okay! It’s always something you can grow into as you become more familiar with the real estate market. Creating a must-have list will save you both time and money while shopping around.
3. Keep Your Credit in Check
Lenders will pull multiple credit reports throughout the home buying process to make sure nothing in your financial profile has changed throughout the process. It’s important to NOT open any new loans, any new credit card accounts, make any big purchases (i.e. financing furniture or a car), or close any existing accounts during this time. This can affect your credit score and could put you in jeopardy of purchasing your home.
4. Don’t Forget Basic Fees
There are many basic fees when it comes to home buying–make sure you factor these into your budget when planning, just in case:
- HOA dues
- Property taxes
- Closing costs (generally 1-2% of total loan cost)
5. Set Realistic Expectations
You may not get the first house you put an offer in on, or the second, third, or fourth. Homebuying takes time—especially in a hyper-competitive market like Denver. Pick yourself up and move on if you lose an offer—it’s a tough world out there, but you’ll end up right where you’re meant to be!
6. Find a Trusted Expert
With Homie, you can have a dedicated, local agent to walk you through each of these steps and help you along the way. Your knowledgeable agent can give you tips and tricks to navigate the difficult Denver market and help you find your perfect home. Some things to look for when choosing an agent include:
- How many years of experience?
- Are they knowledgeable about the area you’d like to buy in?
- Personality—are they open, friendly, and communicative?
- Are they able to compete in this tough market?
- Check out their reviews.
- Do they take the time to listen to your wants and needs?
We have tons of knowledgeable agents waiting to help you find your dream home. Read more about them here.
7. Use an Easy to Use App to Find Your Home
Download the Homie app to quickly browse homes, request tours, favorite properties, and more! The Homie app will help you with your home buying journey wherever you are and will help find the perfect home for you.
*Subject to terms and conditions. See our website for details.