Call Us 641-682-8027 ☰ ˟
Logo
Call Us 641-682-8027
  • Home
  • Our Agency
    • AboutImage of right arrow
      • Our Staff
      • Our Locations
      • Community Involvement
    • Our Providers
    • Payments
    • Blog
    • Resources
  • Products
    • Auto InsuranceImage of right arrow
      • Liability Coverage
      • Comprehensive Coverage
      • Collision Coverage
      • Diminishing Deductible
      • Accident Forgiveness
      • Minor Violation Forgiveness
      • Roadside Assistance
      • Specialty Auto Insurance
      • 24-Hour Customer Service
      • Towing
      • Rental Reimbursement
      • Medical Payments Coverage
    • Home InsuranceImage of right arrow
      • Property Insurance
      • Renters Insurance
      • Homeowners Liability
      • Condo Insurance
      • Mobile Home Insurance
      • Landlords Insurance
    • Other Personal InsuranceImage of right arrow
      • Identity Theft
      • Personal Umbrella Insurance
      • Special Event Insurance
    • Farm InsuranceImage of right arrow
      • Crop Insurance
      • Farm Owners Insurance
      • Farm Livestock Insurance
      • Farm Equipment Insurance
      • Farm Dwelling Insurance
      • Farm Structures Insurance
      • Farm Auto Insurance
      • Farm Umbrella Insurance
      • Farm Liability Insurance
    • Life InsuranceImage of right arrow
      • Individual Life Insurance
      • Group Life Insurance
      • Long-Term Care Insurance
      • Disability Insurance
      • Second-To-Die Policy
    • Health InsuranceImage of right arrow
      • Group Health Insurance
      • Dental Coverage
      • Long-Term Care Insurance
      • Supplemental Insurance
      • Disability Insurance
      • Medical Expense Insurance
      • Child Health Insurance
      • Travel Health Insurance
      • Prescription Insurance
    • Recreational Vehicle InsuranceImage of right arrow
      • Boat Insurance
      • Motorcycle Insurance
      • Motorhome Insurance
      • ATV Insurance
      • Snowmobile Insurance
    • Coverage for Your BusinessImage of right arrow
      • Business Owners Policy (BOP)
      • Commercial Auto Insurance
      • Commercial General Liability
      • Commercial Property Insurance
      • Commercial Umbrella Insurance
      • Crime Insurance
      • Inland Marine Insurance
      • Professional Liability
      • Workers Compensation
      • Bonds
      • Fidelity Bonds
      • Surety Bonds
    • Coverage for Your EmployeesImage of right arrow
      • Group Benefits
      • Group Disability Insurance
      • Voluntary Benefits
      • Group Health Insurance
      • Disability Insurance
      • Individual Life Insurance
  • Get A Quote
  • Contact
Auto Icon

Auto

We browse through a wide variety of coverages and find the right one for you.

Learn More
Home Icon

Home

We browse through a wide variety of coverages and find the right one for you.

Learn More
Business Icon

Business

We browse through a wide variety of coverages and find the right one for you.

Learn More
Farm Icon

Farm

We browse through a wide variety of coverages and find the right one for you.

Learn More
Life and Health Icon

Life & Health

We browse through a wide variety of coverages and find the right one for you.

Learn More
Home > Blog > 3 Tips for First-time Home Buyers
THURSDAY, OCTOBER 27, 2022

3 Tips for First-time Home Buyers

Purchasing a home can be an exciting investment in your future. However, if this is your first time buying a house, it may feel like a daunting task. Just like any big decision, preparation is the key to success. Here are some essential tips to consider as you embark on the home-buying process.  

Review All Expected Costs 
Whether you’re looking for a fixer-upper or a move-in ready home, buying a home is expensive. While the total amount you pay will vary with how much you’re able to spend, here are some of the primary costs to consider: young homeowners

  • A down payment is the initial amount you’ll be required to pay upfront for a home. With excellent credit, your down payment could be as little as 3% of the total value of the home. But this can still be a significant expense. 
  • A home inspection can help you find major problems in your prospective home before closing. It generally costs between $300 and $500. However, issues found during a general inspection (e.g., mold) may need to be looked at more closely by a specialist, which can cost more. 
  • Earnest money is a type of upfront deposit used by some sellers to ensure that you have good faith intentions to purchase their home. Although it is not always a requirement, putting down earnest money may be a good idea in a competitive market. Fortunately for buyers, this money will go directly toward your down payment or closing costs. 
  • Closing costs are the fees and expenses you’ll pay to finalize your mortgage. They can range from 2% to 5% of the total loan amount.  
  • Move-in expenses will vary depending on the type of house you purchase. However, you should expect some additional upfront costs associated with moving in such as purchasing new furniture and making any necessary repairs.  

Understand Your Home Loan Options 
The vast majority of Americans rely on loans to purchase their first homes. Fortunately, there are several buyer assistance programs specifically designed to help you purchase your first house. In Iowa, eligible first-time home buyers can receive down payment assistance and reduced interest rates through the Iowa Finance Authority’s FirstHome Program. 

Here are some additional mortgage options that may be available to first-time homeowners: 

  • Federal Housing Administration (FHA) loans can allow for down payments as low as 3.5%. 
  • U.S. Department of Agriculture loans are an option for rural home buyers that typically requires no down payment. 
  • Veterans Affairs loans are an option for current and veteran military service members and usually do not require a down payment. 

To guarantee you’re getting the best mortgage rates, consider requesting loan estimates from multiple mortgage lenders. Ask about interest rates, origination fees and the opportunity to purchase discount points, which could lower your interest rate.  

Don’t Go Through This Experience Alone 
When purchasing your first home, don’t be afraid to ask for help. There are many experienced professionals you can rely on throughout the home-buying process, including the following: 

  • Real estate agents can help you find the right house, work with sellers’ agents to find you the best deal and put you in touch with other trusted professionals (e.g., mortgage banks, home inspection agents). 
  • Mortgage brokers are licensed to match lenders with potential borrowers. They can help you shop around for the best loans by comparing multiple lenders.  
  • Insurance agents can help you find the right homeowners policy for your home and budget. This is a vital aspect of homeownership as nearly all lenders require you to show proof of home insurance before approving your loan.  

Contact Us Today 
McCune & Reed is here to help you navigate your home insurance needs. Contact us today for the protection your house deserves.  

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information. 

Posted 12:02 PM

Tags: home insurance
Share |


No Comments


Post a Comment
Required
Required (Not Displayed)
Required


All comments are moderated and stripped of HTML.

NOTICE: This blog and website are made available by the publisher for educational and informational purposes only. It is not be used as a substitute for competent insurance, legal, or tax advice from a licensed professional in your state. By using this blog site you understand that there is no broker client relationship between you and the blog and website publisher.
Blog Archive
  • 2023
  • 2022

  • home insurance(3)
  • cyber liability insurance(2)
  • auto insurance(2)
  • inland marine insurance(1)
  • motorcycle insurance(1)
  • recreational vehicle insurance(1)
  • business insurance(1)
  • rv insurance(1)
  • personal umbrella insurance(1)
  • flood insurance(1)
  • commercial property insurance(1)
  • general liability insurance(1)

View Mobile Version

Contact Us Today!
641-682-8027

Social Social

Resources

  • Products
  • Payment Options
  • About Us
  • Refer A Friend
  • Our Carriers
  • Blog
  • Contact Us

Contact Us

119 N Washington Street
Ottumwa, IA 52501

Ph: 641-682-8027 | Fax: 641-682-6824 | info@mccuneandreed.com
� Copyright. All rights reserved. | Powered by Insurance Website Builder