First-time Homebuyers Guide: How to Save Money for a House

How to Save Money for a House - Brookings Home Team

Are you buying your first home for sale in Brookings, SD? Congratulations! Making the jump from renting to homeownership can be both exciting and stressful. From financial transactions to house hunting to navigating the real estate market, home buying is not for the faint of heart. Thankfully, your trusted Brookings Realtors at Brookings Home Team have years of experience and plenty of tips to help you on this life-changing journey. Continue reading to find out how to save money for a house when you're a first-time homebuyer.

Get Pre-Approved for a Mortgage

Get started early by obtaining a mortgage pre-approval. When the housing market is low on inventory or available homes to buy, you don’t want to miss out on a house you’re excited about.

Oftentimes, multiple offers will go out for a single home. Being organized with your home mortgage pre-approval will help avoid the emotional rollercoaster that can happen when you don’t have your paperwork ready.

Research Home Loan Eligibility

As you start the home shopping process, knowing your first-time homebuyer loan options will help save thousands of dollars by selecting the best loan for your specific financing needs. The real estate experts at Brookings Home Team can help you find home loan opportunities you may qualify for.

Save Money for a Down Payment and Closing Costs

Down payments and closing costs are two huge opportunities to save money in the long run. While it's a common homebuying myth that you need a 20% down payment, it's definitely beneficial if you are able to do so.

If you’re able to save up and put 20% down towards your home mortgage loan, you can avoid additional payments like PMI (private mortgage insurance). By paying for closing costs and not wrapping them into your loan, you could save thousands of dollars depending on how much money you are borrowing from the bank.

You Found Your First Home, Now What?

So we’ve listed some of the steps to get you started in buying your first house. Up next are a few tips to save you time, headaches, and money. You’ve found the home for sale in Brookings, made an offer, and you're really starting to roll down the path to being a new homeowner.

Excitement is in the air and ideas of what furniture will go where and what pictures you want to hang in your living room are taking over. But hold on! Let’s keep the practical and organized list to help you when you’re ready to move.

New Home, New Mailing Address

The change of address process will be very important. Getting started early will help you avoid missing out on quite a few areas such as utilities, credit card companies, and other monthly, reoccurring expenses. Grab a change of address form so all of these third parties know where to send your mail. You might even get some coupons and special offers to save you money.

Dine in and Save Money

You’re becoming busier and busier as you get prepared for your first home. Don’t forget to plan your meals! This may seem like common sense but you can save money in the long run by not spending too much money on dining out. Make your meals at home and have some fun in your new kitchen at the same time.

First-time Homebuyers Depend on Our Brookings Realtors

The professionals at Brookings Home Team can be an invaluable resource when purchasing a house in Brookings County, and that goes double for first-time homebuyers. While this is a fun and memorable milestone, it can also come with its fair share of challenges, and it never hurts to have a trusted resource in your corner. After all, this is probably one of the biggest investments you will ever make. If you're ready to start the homebuying process give us a call at (605) 691-3023 or use our online contact form to start the conversation.