Here at Maine Source Homes & Realty, we like to say we “wear three hats”—we help folks sell homes, build homes, and buy homes. While we’re wearing that third “hat,” people ask us, “What is the first-time home buyer process in Maine?” Here’s a clear, step-by-step look at it, plus suggested resources at the end.
First Time Home-Buyer Process
The first step to take is to start saving money for your down-payment. Purchasing your dream home requires a mortgage, and you can’t secure one without a down payment of some size (which will depend on the terms of your mortgage).
Next, check your credit score, and make sure it’s adequate. Your lender will later be checking your score to decide whether to loan you money, and on what terms. (If your credit score is not adequate, you’ll need to take steps to improve it.)
Next, it’s time to meet with your lender, to get pre-approved for a mortgage. Your lender will review your financial situation in-depth, and use the review to determine whether they’re willing to offer you a loan, plus the size of the monthly mortgage payment you can comfortably afford. This will allow you to target homes in a specific price range.
Get an Agent—Have Some Fun!
Now, it’s time for house-hunting fun! And that means finding a great real estate buyer’s agent. Your buyer’s agent will:
- Use his or her in-depth knowledge of Maine real estate to help you find exactly the right houses to look at;
- Clearly explain to you every step of the house-hunting process;
- Negotiate the best-possible real estate deal for you;
- Do all this (for you) for FREE-because the seller pays the sales commission in most cases. Make sure you discuss this with your agent before signing any agreement.
Once you’ve identified your dream home, you’ll need to schedule a walk-through and later make an offer to the seller. If you want to “Make them an offer they can’t refuse,” you should consult with your agent regarding this, and also determine who will conduct a professional home inspection.
At this point, your lender will request to conduct a home appraisal, so they can confirm the house is a sound investment. Once this is completed—and assuming there are no problems—you’re ready to head to closing.
Closing is the meeting that brings together you, the seller, your mortgage representative, and others. During this get-together, you will sign all the paperwork, get the keys to your new house, and pay such things as the down-payment for your loan and closing costs.
With the right guidance and support, being a first time home buyer in Maine can be a fun, satisfying process. We hope this blog has helped you, and also suggest you check out these key additional resources:
https://smartasset.com/mortgage/first-time-home-buyer-programs-maine
About Maine Source Homes & Realty
MAINE SOURCE HOMES & REALTY is dedicated to helping you find your perfect home-ownership solution. Whether you wish to buy, sell, or build a home, Maine Source Homes & Realty invites you to benefit from our 47 years of trustworthy experience and expertise.