If you're a first-time homebuyer, chances are you're getting ready to enter into one of the biggest transactions of your life. Along the way, you'll experience peaks of extreme excitement and valleys of anxiety and uncertainty.

Our REALTORS® work with first-time homebuyers all the time. To help ensure your transaction goes smoothly, they've created this list of nine things all first-time homebuyers need to know.

1. Start Saving for Your Down Payment Today
   While putting 20 percent down used to be the common practice, some lenders now allow you to put down as little as 3 percent of the purchase price. However, taking this option will increase your monthly payment and the amount you pay over the lifetime of the loan. No matter what amount you've decided to put down, it will take some time to save up what you need. If you're going to put down 5 percent on a $200,000 home, that still means you'll need to come to the table with at least $10,000.

2. Check Your Credit and Pause New Activity
   Unless you're sitting on a huge pile of cash, you'll need to qualify for a mortgage. Your credit score will have a huge impact on both whether you'll get approved and the interest rate you'll pay. Don't wait until you've found your dream home to learn about your credit score. Check it right away, so you can work on raising it if necessary. Additional credit inquiries can also negatively impact your score, so don't apply for any new credit cards or loans once you've decided to get serious about your home search.

3. Explore Your Mortgage Options
   There are many mortgage options that might be available to you, including Conventional, FHA, and VA. You'll also need to decide whether you want to apply for a 15, 20, or 30-year loan. Once you've decided on the loan type, you'll also want to shop vendors to make sure you get the best possible offer.

4. Decide How Much You Can Afford
   It's possible that you'll qualify for a larger loan than you can actually afford. Before you decide on your home purchase budget, take a close look at your current expenses and decide how much of a monthly payment you can afford. Don't forget to add in new expenses like lawn and pool maintenance, higher utility bills, the cost of homeowner's association fees, and expenses associated with a longer commute. Once you've decided on your spending budget, commit to sticking to it.

5. Get a Pre-approval Letter
   A pre-approval letter from your lender shows that you're a serious buyer. Many REALTORS® require this before they'll start to show you homes. If a seller receives multiple offers, those without a pre-approval letter are often disregarded. Taking this simple step will help save you from headaches later down the line.
   
   
6. Find a Great Real Estate Agent
   A great real estate agent will help you find homes that you might otherwise not have known about. If you choose to work with one of our real estate agents, they'll be by your side toanswer all of your questions, assist you in the negotiation, and help you through the entire process.
   
   
7. Never Skip the Home Inspection
   You wouldn't buy a car without test driving it, and you definitely don't want to buy a home without a thorough inspection. This is your chance to find out about any problems with the home and work with the seller to get them corrected before you finalize your purchase.
   
   
8. Don't Hesitate to Negotiate
   The negotiation process is one of the areas where a good real estate agent really earns their keep. Your agent will know what is and is not appropriate to ask for and will help ensure that you get the fairest possible deal.
   
   
9. Stay Calm, No Matter What
   There are guaranteed to be moments during the home-buying process when you feel confused, frustrated, or anxious. When things don't seem to be going your way, do your best to remain calm. Remember that it's all part of the process and everything will work out fine in the end.

When you're ready to start your home search, we're here to help. Contact us today to get started!