Katie BaileyAre your members ready to find their first home? Where do they begin? What resources are available to help? Here is what you need to know to get your member on the homeownership journey.
Who is a first-time homebuyer?
The definition of “first-time homebuyer” might be broader than you think. For example, it can refer to a person who has never owned a home, a person who has not owned a home in the last three years, or a single parent who has only previously owned a home with a spouse.
How does your member find a real estate agent?
Look for a local realtor, meet with them, ask questions, and make sure they understand your needs and experience level. Real estate agents offer a wide range of services, such as finding available homes that meet their wants and needs, accompanying your member to see the homes, and negotiating purchase contract on the member’s behalf.
What is a written buyer agreement?
Before a member tours a home, their agent might need to enter into a written buyer agreement. This agreement will outline the services the real estate agent will provide and what they will be paid for those services. These agreements are negotiable, and the member should make sure they understand what their responsibilities are and what they are agreeing to pay.
What are the members’ options for securing financing assistance?
First-time homebuyers have multiple options for financing the purchase of their first home. Discuss with your credit union loan officer the programs that might be available.
What other ways can your member lessen their costs?
Some sellers may offer to pay certain costs associated with purchasing a home, which are called concessions. The seller can also pay the buyer’s agent compensation as part of the purchase offer. Both are options that may reduce out of pocket and upfront expenses, helping your member stretch their budget further. The real estate agent is there to advocate for the buyer during purchase negotiations on these and other terms.
Make sure the member gets Owner’s Title Insurance.
This protects their financial investment. Owner’s policies are a one-time investment paid at closing that protects homeownership for as long as the property is owned and beyond. Common Bond Title has your member covered.
Make sure the member closes with Common Bond Title.
Real estate transactions can be complicated, time-consuming, and may involve some degree of risk. With a closing agent or title company that you can trust, Common Bond Title, at your side, the member can stay both informed and protected. That’s why we are such a critical part of the process.
For more information, click here or contact a League Consultant at consult@myleverage.com or 855-9EXPERT (855-939-7378).
