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Have you been thinking seriously about borrowing to purchase your first residence?  Thanks to the infusion of stimulus money to our nation’s economy, the real estate situation is looking a little less bleak. In spite of how things may appear today, the time to buy a house is right, for many families, for a number of reasons.  Lots of  people have once again turned their attention to the American dream, that of home ownership. While for some people, buying a home still may not seem attainable, based on their current financial circumstances, they may find they are closer than they realized, if they begin to "think outside the box", or in this case, outside the apartment or house they're currently renting.

Home ownership may not be reachable for families who choose to go it alone, but in my case, some of my family members and I have decided to pool our resources.  Borrowing money for our first residence may still be necessary, but between the various family members, the load will be lighter.

We have agreed to work together to buy our first home. If you find yourself thinking about the same thing, you probably have some of the same questions.  How do you get started if you want to buy a house?  Is borrowing money to purchase your first home as difficult OR as hard as some seem to think.   What are the ends and outs of purchasing that first residence on borrowed money?

One of the things required is a knowledgeable real estate professional that can give some very in-depth information about buying a new home! That includes the possibility of buying a bank-foreclosed house, or a HUD (U.S. Department Of Housing and Urban Development) house or any other government funded type of home.

HUD is particularly an excellent program that has been around for years, helping families so that homeownership is more affordable. The Federal Housing Association is an excellent place to start in order to get the basics about how the Hud Program works. You can even find out specifically about HUD's recovery programs, which are directly linked to the 2009 federal stimulus money.

To really and truly help you get the ball rolling, it will be best to have a real estate professional. Some may be wondering why get a real estate professional, instead of "going it yourself". Because the real estate agent or broker that is selected to help in this important process will be familiar with the real estate market in whatever state you currently reside. There is a dire need for first time homeowner’s assistance. Everyone is interested in purchaing their first residence through one of the special first time buyers programs that are available. . Knowing who to go to, and where to find legitimate programs is not as easy as it seems. Asking questions, compiling information and comparing services can help prevent costly mistakes.

Knowing where to start in this whole process is a big question and apparently a common one. I have done a little preliminary research and checked out a few websites (like the FHA and HUD information already mentioned), but I'm not sure what's expected of us if we go to an agent right now. How do we find the right agent? Do we take them money now? Will someone start helping us before money changes hands? What are the beginning steps for real?

My family of four adults and one small child is eager to begin borrowing so we can purchase a new home and be in our new residence in the beginning of next -year. We realize there is a lot of necessary work involved in buying a new house, especially if you are trying to purchase your first home. I personally don’t know anything about buying a bank foreclosed house, a HUD house, or any other type of house. I am a 51 year-old divorced woman, but I have never had the privilege of buying a new house.

I am familiar (as was stated),with the HUD housing assistance program, but only with regard to section 8 housing for renters. I only stumbled onto the above information about HUD while visiting their website seeking information on some renter issues When I began reading about different first time buyers information, I was surprised to learn that if we just gave it some thought and planning, my family and I might really be able to swing it!  A borrowing a home loan and making the down payment to purchase a residence is not just a pipe dream!

I've learned to be a pretty savvy and well informed tenant over the years, but knowing and asserting your renter's rights is a lot different from knowing how to protect you and your family when you're trying to purchase a new house. There have been people who have lost their life savings to various "home buying" scams. How do you not fall victim? Even though I know about as much as the next person (which is nothing) about the home buying process, these are questions that my family has entrusted me to find answers to. I'm the one that has to get the ball rolling!

This article is an effort to compile some factual, unbiased information from homeowners (or former homeowners) who have been through the 1^st time homebuyers process.

Comments and/or detailed responses are also welcome from anyone in the real estate profession, in whatever capacity. The goal is to provide necessary information, as well as adequate “food for thought”, when it comes to anything related to being a first time homeowner. Obviously, I could get answers from the "professionals in the field", but it's not the same as hearing from families who have experienced the process and can relate to the fears, and obstacles.

Share 1st Time Home-Buyer Experiences

Before you continue reading, if you would like to share some home buying experiences (either your own or someone you know of), please answer in the "COMMENTS" area in the following way.

First, as you continue to read the rest of the article, determine which of the following categories YOU fall into. Your comments and questions are wanted, so feel free to provide them in the "COMMENT" area located at the bottom of the page. Be sure to indicate one of the following:

CATEGORIES

A) You are in the same or similar situation as me and my family.

B) You were once a 1^st time homeowner and your situation was similar or the same.

C) You were once a 1^st time homeowner but your situation was different.

D) You are thinking about becoming a 1^st time homeowner and your situation is similar or the same.

E) You are thinking about becoming a 1^st time homeowner but your situation is different.

F) You are a real estate agent, broker, or other real estate professional with something to share.

I realize that there are some very specific things that I should ask when searching for the right agent or real estate professional, but your "COMMENTS" can be just as helpful, when it comes to adequate preparation, not to mention the pitfalls to avoid. So no matter which of the above categories you fall in, any thoughts or comments would be most helpful, and greatly appreciated.

The remaining article discusses some related points pertaining to buying a home and the kind of mindset that I believe is necessary to stay focussed on the task at hand.

Even though the American Dream may be the same, there's nothing traditional about today's family composition. More and more households consist of extended family members, and sometimes multiple families in one dwelling. This has become one way people are dealing with the high cost of living.

The NEW "Typical" Family

My family (the actual members seeking to be involved with the purchase of our new home) consists of my elderly mother (71 year-old retired – disabled nurse), my eldest sister (56 year-old nurses assistant – on the same job 15 years), My 30 year-old nephew – single father does janitorial work at night, and my six-year-old niece (incredible student and apple of my eye!). Then of course, there is me. As a freelance writer, I generate income online from a number of sources. My income, though sporadic and harder to calculate, is included in the available resources we have to purchase our new home).

With a real estate professional’s assistance in buying a home, my family and I can get into a new house before my mother requires some sort of senior housing! Even when a house has been located, and an agreement to purchase has been made, there is a mountain of paperwork to complete and a waiting period (escrow) to go through. It is important to understand how the escrow process works and what can be done to expedite it. Real estate professionals should have no problem helping prospective buyers comprehend escrow and everything related.

Many people, like myself, are particularly interested in available government funded programs that their families may be eligible for. Most are also open to discussing other available options for funding. Real estate companies usually have loan agents that can offer help regarding home loan providers. It is best to have a loan agent that has a good rapport with loan providers. The loan agents know which lenders are willing to work with first time buyers who have less than stellar credit. You don’t have to have home buyer’s experience to know that financing is a big part of the home buying process, The right loan agent and right loan provider are key components to the financial element.

For those who reside in California like me, getting insight on the California real estate market can help determine if you want to purchase a new house here, or perhaps start thinking about expanding your search to other surrounding areas. In addition to the many government HUD homes available in California and other states, there are tons of bank-foreclosed homes that the banks would love to unload.

During the early part of the recent real estate crisis, people were losing homes left and right! Later down the line, help was offered by way of loan modifications, and some people were able to save their houses. The number of homes saved by loan modifications, however, is a drop in the bucket, compared to the scores of houses lost to foreclosure.

Because the real estate slump has hit most states pretty hard, there is no shortage of available houses for sale. For perspective homeowners, that’s the good news. The bad news is, without doing proper research BEFORE buying a house and signing on the dotted line, you could end up a negative statistic in the next real estate crisis!

Referrals are an excellent way to find a real estate professional to assist you in the home buying process. Speak to homeowners you know (and trust) for names of real estate professionals they can refer you to.

Try to have more than one prospect in mind and make an appointment to visit each one. You will get an opportunity to see how professional they are, as well as see the professionalism of their colleagues and staff. The proper handling and processing of important documents and paperwork is dependent on this.

How reliable and accessible your real estate professional will be to you is also important. During the typically lengthy home buying process, you will have questions and concerns along the way. You will want your questions answered so your mind can be at ease. The last thing you need is someone unavailable, or unwilling to take your calls or visits.

Make sure to supply correct and truthful information about your credit and finances. Not only will this information end up being disclosed anyway, but your real estate professional will be in a better position to help you, if you are upfront about any issues or potential obstacles.

Find out if your chosen real estate professional works with lenders that are sensitive to your specific needs.

• What’s the difference between a real estate agent and real estate broker?
• How do I know if I need an agent or a broker?
• Which is better to have and why?
• What do you do if you don’t know of a real estate agent or professional to contact?
• Is it okay to contact just ANY real estate company out of the blue?
• Does it matter where your real estate agent or broker is located?
• What Are The MAJOR Steps In The Home Buying Process?

If you are a real estate agent, real estate broker,or other real estate professional that can provide needed assistance concerning home ownership, you are invited to add your comment regarding any of the information mentioned in this hub, along with a link to additional information (optional). Others may be interested in receiving this information, so feel free to comment below. If you would prefer to respond in depth, on the requested information, please EMAIL charm_baker@yahoo.com

If you are an individual that falls into one of the above categories ( A-E), and you would like to comment or send a response, please feel free to do so, after indicating what category you are in. If you post a question, make sure to BOOKMARK this hub, and return for updated - posted answers.

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