Homebuyer Education (What You Want To Know Wednesdays)

Buying a new home is both exciting and intimidating. Delving into the mortgage industry, housing market, and home buying process is like visiting a new country; you are not quite sure about the etiquette, process, and of course, there is a whole new language to try and understand. Luckily, there are Homebuyer Education courses to help you navigate the process and decide if homeownership is in your best interest. Some loan programs require that borrowers complete a homebuyer education course before their loan is funded. However, it is always a good idea to be educated in big decisions you are making. You can find free courses online – but your Lender may only recognize certain certificates.

Homebuyer education will cover the process from start to finish. It will also provide in depth information about financial decisions to consider. In addition, there are several aspects of buying a home that do not have to with the process explicitly, but are covered in the education. Some topics include; how much home you can afford and how much money you want to spend, money management tips, credit management, long term and short term goals, etc.

Homebuyer education may pose questions to you that you may not have thought of initially while considering buying a home. Such as, how long do you want to be in this home? Will this home suit your long term, or short term goals? Also, what parts of the home are the most important to you? If you like to host large dinner parties or family get togethers, then you may want a home with a large and separate dining room.

It will also cover some helpful tips for when your loan has funded and you are officially a homeowner. There will be helpful tips and eye opening points. As a homeowner you will be solely responsible for any repair needs or improvements made to your home. Should trouble strike and you run into financial distress the education will also give you the resources to help you find your way out of hot water.

Also, be weary of the mail you will receive. Once a loan funds it is public record, as a result there are many scam artists that will send mail that looks like it is on behalf of your lender but in reality is not. Later on in the life of your loan you may receive offers to refinance your house or borrow against the equity of your home; be very cautious when reviewing these offers. There are several refinance and equity options out there, generally you will want to start with your Lender to see what they can do and proceed from there.

Taking the time to review a homebuyer education course is beneficial for anybody considering buying a home, whether you are in a position to buy soon, or have to wait. It will help you find the tools to achieve your dream of homeownership.

MGIC.com

* Specific loan program availability and requirements may vary. Please get in touch with your mortgage advisor for more information.