First Time Home Buyer?

Contact the Realtor, do a walk through. Make sure the house is what you are really wanting. If your 1st walk through goes well, then contact lenders and at the same time, contact a separate Realtor to represent you. The seller has a Realtor, so should the buyer. Always have one no matter which side you are on...you need a professional representing you as well!

Hi Caitlin. Personally I think a 4 bedroom house for $300K is a decent deal considering that most houses in my area go for much more than that. Plus you said that it is a foreclosure which means that the bank might be very willing to negotiate with you so they can start recouping some money. Even if it is just you right now, a larger house is definately something you can grow into if you decide to start a family.

As far as affording it, Kendra is SO WRONG! There are programs out there to help first time and middle income home buyers. Mortgage companies provide loans like First Time Home Buyer Program, Moderate Income Mortgages (different than moderate income housing so make sure that you know what you are getting into) and loans that are FHA insured. If you take an FHA loan you will be paying about a 1-2% premium in your monthly payments. There are income caps with regards to what is considered Moderate Income. Depending on where you want to buy you might be above the cap. Even though these are programs to help you, it doesn't mean that they are necessarily considered sub-prime or only available as an adjustable rate mortgage. Many of them are fixed rates and require a lower down payment. You may find though that a conventional mortgage is best for you. Housing costs should be no more than 33%- 36% of your income. If you got a monthly payment of say $1700 at your income, you are right between those two numbers.

If you are younger you probably have a good 25-35 years left to work. Conceivably your life time earning potential is still pretty good and if you decide to get married to somebody who has an equal income as you, your total household income would double. If you have the fixed rate mortgage before you marry, it will still be based on your single income and shouldn't change. The extra money you have could be used to prepay the mortgage and cut out a bunch of interest or just go to suppliment the household budget.

If you can, try to pay down other debts (car, student loans and credit cards) as much as you can. It'll be easier to make housing payments if you have less to worry about each month.

I assume that you probably rent now. If so you probably already have the essential furniture and supplies needed to start off in a house without having to sleep on the floor and sit on inflatible furniture.

Be careful with a foreclosure. I'm hearing stories these days of people destroying foreclosed houses before they leave. I don't know if those are houses just going back to the bank or being sold to other people.

Personally I would get pre-approved so if this house doesn't work you can keep up the momentum if you are in the market to buy a house anyway. Don't let the 15 year mortgages scare you. For a couple hundred extra on the payment you can save a bundle in interest....

Good Luck!

Contact a couple lenders and see what kind of mortgages you qualify for, and make sure they are mortgages that match up to your needs. With that score, you should qualify for the best of mortgages out there..meaning you should be able to get a low interest rate fixed rate mortgage without a large downpayment (unless you want to put a large downpayment). Get a preapproval letter, and then find out which real estate agent has that listing and make an offer through that agent. Make sure your contract has at least a 4 or 5 days for attorney review and is contingent on a property inspection withing 5 days of exectution of contract.

Contact a realtor. I will cost you absolutely nothing. The seller pays the realtor. If you contact the seller's realtor, he can offer you no advice or opinions concerning the property. Remember, if he acts as realtors for both parties, then his commission doubles, so does the motivation to close the deal. An experienced realtor can direct you to the mortgage professional who best fits your situation, but I would definately get pre-approved it gives you a negotiating tool.

Contact an agent that specializes as a buyer's broker. They will walk you through all the steps that include getting pre-approved with a lender and seeing the house again, and providing you with current market data for the area and then consult with you to make your offer- after your offer is accepted, they will assist you connecting with inspection professionals to get inspections, disclosures & reports to determine the condition of the property.

Go to the lender first and get a pre-approval based on your credit rating. Then call the realty who is listing the home and ask to see the property. Never tell the realtor what you can afford. Remember, they work for the SELLER not for the BUYER. Take your time.

find out how much the house is priced at, then how much you will be allowed to borrow

4 bedroom houses are sometimes out of reach for firsttime buyers, depending on location of course, and your income