I’d like to cover some first time home buyer tips for Utah. Really, these tips apply to all home buyers. If you aren’t sure where to start with your home purchase, check out my video for tips, things to ask, why it’s important to shop around for loans, and more!
Video Transcript:
Are you wanting to be a first-time home buyer in Utah? Not sure where to start with buying your own home? Well, then this video is for you. Hi, I’m Melissa with Utah Homes by Melissa. Let’s talk first about one of the biggest questions I get asked. How much of a down payment do I need to buy a house? Well, you might be surprised to hear that it’s not 20% down. That’s right. 20% down is no longer needed necessarily. There are down payment assistance programs, first-time home buyer programs in Utah that are great, and various loan options. And depending on where you buy, you might even qualify for a USDA loan, which is 100% financed. FHA loans in Utah can allow you to put anywhere from 3.5% down up to 20% down. And it’s still possible to find a home to purchase that could be comparable to what you’re paying for in rent payments. Next, let’s talk about financing. I cannot stress this enough. Shop around. Not every lender charges the same. So it can literally cost you thousands if you don’t do your homework in this area. Here’s an example I had recently. I had a client buy a house for nearly $600,000, and they paid less in closing costs than someone who bought a house for 320,000. Now, typically, if you check with various lenders for a home loan within 30 days, it only counts as one inquiry on your credit. But of course, check with the lender and make sure nothing has changed since I’ve made this video with that regulation. Next, let’s talk closing costs in Utah. Closing costs are customary, and what you can pay varies. Closing costs are typically for a buyer going to include property taxes while you own the home, lender fees, title insurance, HOA, that sort of stuff. Now, you get a full breakdown of these fees so that way you know where your money is going. Next, you might be wondering, do I need a real estate agent to buy a house? Well, let’s put it this way to you. If the seller has an agent looking out for them and negotiating on their behalf, why wouldn’t you have your own agent that represents you solely and looking out for your best interest? After all, would you walk into a court room without your own attorney representing you and count on the other person’s attorney to do what’s best for you and represent you? Probably not. Well, that’s like using an agent that doesn’t solely represent you and your best interest. So my advice: get your own agent that’s going to look out for you and your best interest, not look out for the seller or their own paycheck. And most of the time, most, the buyer’s agents fees are included in the fees that the seller pays, and not the buyer. And finally, big advice here. Check out the agent that you’re looking to hire to represent you. Ask the agent questions like, do you work real estate full time and do you treat this like a business, rather than something you do part time for fun? Does the agent have any extra designations or credentials? This will help show a level of education and willingness to do more than the minimum it takes to be a licensed real estate agent. I hope you found this information helpful. If you have any real estate-related questions, feel free to reach out to me, I’m always happy to help. And as always, make it a great home buying and selling day.
