Finding the perfect home or condo/loft can be a dream come true, but the locating your ideal one and owning may take effort. However, the vision of urban living in Minneapolis or St Paul and owning a condo/loft or a single-family home can potentially in your near future.
Please see below some quick tips to consider for Twin Cities first-time homebuyers when you are looking to purchase a new home or a condo.
When it comes to buying a home, the most important thing to know is how much you can afford. There are various tools and mortgage calculators online to help determine the debt and expenses that one can afford basis their annual income. Preparing for mortgage finance is not just restricted to the purchase price of the house or condo. Additional costs will need to be factored in such as; property taxes, homeowner’s insurance, and energy utilities. If you wish to purchase a condo or a loft, you will also need to consider the monthly condo association fees to your overall monthly budget.
Getting mortgage pre-approved with a lender initiates the mortgage process and helps you to move forward in the process of starting your journey of house-hunting. Look at a few home or condo options online or take a drive in your locations of interest. Create a list of what you need in a home – number of rooms, location, amenities etc. Based on this, meet with a real estate agent to discuss the home-buying process and also your home search options.
During this process, you will view homes with your real estate agent, which may help pertaining to what type of home or condo that you will fit your needs and wants. The City of Minneapolis & St Paul require homeowners to have a city inspection performed prior to listing the home or condo for sale. The City of Minneapolis or St Paul Truth In Housing Report outlines the property code violations. You can find a copy of the report on the city website.
Once you start the process of putting in an offer on a property, you may want to consider a private home inspection contingency. The inspector expert will inspect the property for the purpose of identifying any electrical, plumbing or structural issues. The private home inspection can take anywhere from 2-4 hours.
The governments in Twin Cities also assists new buyers in a big way. It helps in connecting one-on-one to Homeownership advisors who are unbiased, non-profit experts who provide free consultation. You will find some first-time homebuyer programs will require individuals to attend low-cost, home buyer education course from Home stretch or Framework which are available in many languages. Based on the buyer’s income levels, down-payment and closing cost assistance is also provided to new buyers making affordable housing a reality. Details for this can be availed from the Housing Resource Center which lenders are aware of.
Housing finance agencies like Minnesota Housing Finance Agency also offer mortgage loans with affordable interest rates to first time buyers. It is worthwhile also knowing all options provided in mortgage financing. The Homeownership Works program (HOW) supports low income home buyers using federal funds. Options on affordable ownership, down payment and closing costs for military people is given by Homes for Heroes program.
If you need down-payment assistance and qualify, you may want to utilize the Minnesota Housing Finance Agency programs or Minneapolis-St Paul neighbourhood down-payment assistance programs.
If you are looking to purchase a single-family home or a condo/loft in the Minneapolis-St Paul area, please feel free to contact me.
Minnesota Homeowner Center
Minnesota Housing Finance Agency
Homes For Heroes