IN Upper St. Clair Summer 2018 | Page 44

REAL ESTATE SPECIAL SECTION The Choice is Clear What First-Time Homebuyers Should Know James Roman, MBA, MA Realtor Last year was a great year for new homebuyers. According to the National Association of Realtors, about 35 percent of the homebuying market was made up of first-time buyers. Yet, each year is not created equally in the mortgage industry and real estate market. Changes happen frequently and it is often hard to keep up. If you’re looking to break into real estate for the first time, here are some insights into how to navigate the market. • Raising standards in real estate • Extensive academic and professional experience SAVING. Office: 412-946-4002 x124 Cell: 724-931-1803 [email protected] REACHING YOUR TARGETED CUSTOMERS HAS NEVER BEEN EASIER. The facts speak for themselves. Direct Mail remains the single most cost effective method of advertising for reaching customers within your community. Contact us at 724.942.0940 42 724.942.0940 TO ADVERTISE ❘ icmags.com Step number one for a first-time homebuyer should always be saving. Take a look at your current finances. It’s recommended that your mortgage payment not exceed 30 percent of your gross monthly income. See where you can cut back spending to put away a little extra out of your paycheck every month for your new home. Not only can this cash go toward a down payment, but most likely you’ll need furniture, appliances, and decorations to furnish your new home. Don’t just calculate the amount of money needed for a down payment. Keep in mind the unforeseen expenses such as home repairs, agent fees and closing costs. You can never save too much! 1. Mortgage. Applying for a mortgage can be an intimidating process, but if you prepare accordingly, you’ll be happy with the outcome. According to LendingTree.com, mortgage lenders are allowing higher debt levels for borrowers with lower down payments (as little as 3 percent on a conventional mortgage loan). You may not need the typical 20 percent down that was required of homebuyers a few decades ago. If your debt-to-income ratio is high, you may not have to worry. Mortgage companies are making it easier for borrowers with more debt to still qualify.