Excitement, confusion, happiness, panic. If you’re going through all these emotions at the same time, then chances are you are thinking about purchasing your first home. Buying a home is probably the largest purchases you’ll make, and going through the home-buying process for the first time can be overwhelming. If you’re just starting out and your head is starting to spin, take a deep breath, then take a look at these suggestions to help you prepare for your home purchase.

Check your credit report

Start your home-buying process on the right foot. Did you know that your credit report can affect your future mortgage rates and terms? That’s why it’s a good idea to make sure your credit report is accurate and ready to be reviewed by lenders. And know that checking your own credit report doesn’t hurt your credit. See that your credit files aren’t mixed with someone else’s, and look for suspicious activity that could be a sign of potential Identity Theft. Get your credit in order by checking your 3 Bureau Credit Report so you can meet lenders with confidence. 

Find out how much you can afford

Pre-qualification or pre-approval of a loan will not only help you determine how much of a home loan you will qualify for, but also will show lenders you’re serious about buying. Pre-qualification is an informal process, based on the information you provide. The lender will give you an estimate of the loan amount and interest rate, but it is not guaranteed. When you have gathered information by pre-qualifying and are ready to go forward with a loan, the next step is the pre-approval process. The lender will most likely review your financial situation, including your credit report, to determine your loan amount and interest rate.  Order your free credit report today and make sure there are no surprises.

Locate your neighborhood

Determine what factors are important to you when you evaluate your potential neighborhood, such as school district reputation, convenient shopping areas, crime risk, local parks, air quality, amount of traffic, and work commute. You might want to drive around a neighborhood you’re considering at different times of the day and different days during the week to get a better feel for the area. If you are wondering about the crime risk in your potential neighborhood, you can contact the local police department and ask for a neighborhood crime report that lists crime statistics for the area.

Find your home

Time to think about the next place you’ll call “home. ” Are you looking for a brand new home, or an older home? Is yard size important? Do you want a fixer-upper, or something that requires little or no work? Make sure you and the members of your household are in agreement in regards to your new digs. And when you find a home, you might want to make sure you have it inspected thoroughly before making your offer.

Get your finances in order

There are many additional costs involved in a home purchase, in addition to the cost of the home itself. Agent, escrow, legal, and appraisal fees, inspection costs, homeowners’ insurance, property taxes, and private mortgage insurance are just a few of the extra expenses you will most likely encounter when buying a home. So get familiar with what you’re getting into and do your research. When you understand the home-buying process, you will be more knowledgeable and confident about what you’re doing and better prepared to ask the questions to get the answers you need to know.

Buying a home is a tremendous endeavor, and one you don’t go through every day. So if you feel lost and confused, you’re not alone. Take advantage of all the resources available to you to help you get familiar with the home-buying process. The library, your financial organization, and the Internet are some good places to start. And be sure to ask questions if you are uncertain about anything. Remember, the people you are in contact with during this process are there to assist you and make your entire experience less painful and more enjoyable!

For your convenience, we have partnered with ConsumerInfo.com, Inc., an Experian company, to offer you a free Experian credit report and score when you register for a free 30-day credit monitoring trial.