Steps to Purchasing a New Home: Part I | French Brothers
Call or Text Kaitlyn 800-691-4375
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The homebuying journey is an exciting process. But as a first-time homebuyer, you will have many questions about what to expect during the homebuying process. Use these steps as a guide for purchasing your new home in a Las Cruces NM homes community.

  1. Is now the time to purchase a home? – Buying a home is a major commitment. Your decision to become a homeowner should not be taken lightly. If you are ready to plant roots in Las Cruces and stay in the area for at least five or more years, then homeownership is an ideal choice for you.
  2. What is your financial situation? – Next, it is time to take a look at your finances. Run your credit report to see what your credit score is and debt-to-income ratio. Make sure there are no fraudulent items on your report and clean up any discrepancies you may find. Try to pay off any debts that you can to improve your overall credit file. If you cannot do that, make sure you continue to pay your creditors on time. It is also important to avoid making any large purchases on credit because this will impact your overall credit score.
  3. Get pre-approved for a mortgage – A mortgage lender will assess your finances at this time. You will answer several questions and provide documents to the lender. The lender will take a look at your credit report, credit history, debts, and assets. This will allow the lender to determine how much money they will allow you to borrow. The pre-approval letter is something you will be able to show real estate agents and new construction sales agents.
  4. Determine how much house you can really afford – The lender will approve you for a certain amount. However, this does not mean you have to purchase a home for that full mortgage amount. Run the numbers to see how much house you are really comfortable buying. Keep in mind the monthly mortgage costs, taxes, insurances, living expenses, and other monthly bills you may have.
  5. Save, save, save – You should save for not only a down payment but also closing costs. It is suggested that you put down at least 20 percent of the home loan value. This will help you avoid paying private mortgage insurance (PMI). Look into first-time homebuyer programs, VA and USDA loans, and other programs that you may be eligible for. Your lender will also let you know how much your closing costs will be. Consider saving about six percent of the total value of the home to cover your closing costs.

This guide will help you get started on your homebuying journey. Stay tuned for more tips in a later blog post. And if you are in the market for a new home, look no further than French Brother. We have a variety of quick move-in Las Cruces NM homes in our Sonoma Ranch – Verano, Diamond Springs, and Metro Verde communities. Contact us today by phone or text at 800-691-4375 to learn more about our available homes in these beautiful communities.

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