5 Things to Know if You're a First-Time Homebuyer [Cambridge, MA]
Buying your first home is a big step! Luckily there are plenty of resources to assist Cambridge first-time homebuyers.
You can take a first-time homebuyer class.
The Cambridge Housing Division offers a free four-week workshop covering the following topics:
Budgeting and Credit
The Housing Search Process
Obtaining a Mortgage
Legal Issues
Home Inspections
Insurance
Successful Homeownership
Financial assistance programs
They also offer special courses on various topics throughout the year as well as individual counseling. You can also search for a MA first-time homebuyer class online.
You may qualify for affordable housing program.
There are a number of affordable housing programs at both the state and local levels. Massachusetts has a number of public housing programs, particularly for low-income, elderly, handicapped, and special needs residents. The City of Cambridge has an affordable homeownership resale pool where eligibility is based on income limits. The Cambridge Affordable Housing Trust has a financial assistance program for first-time homebuyers.
Cambridge offers down payment assistance of up to 6% of the purchase price to first-time homebuyers who qualify. You can read more about the income and eligibility requirements here.
You should understand all the costs associated with buying a home.
It’s not just your mortgage payment. When you buy a home, you’ll want to budget for:
Utilities
Taxes
Transaction costs
Closing costs
Costs associated with yard work
Snow removal
Inspections
Special assessment
You’ll also want to have a plan for the future of your home. Is this your long-term home? Do you plan to sell it or rent it someday? These may impact the size of the investment that you’re willing to make today.
You can find a mortgage for first-time homebuyers.
There are a few state and federal programs that provide mortgage assistance to first-time buyers. The Massachusetts Housing Partnership offers low-interest loans based on income. MassHousing offers a number of mortgage products for new homeowners, as well as classes and other resources. The Federal Housing Authority provides loans and other assistance.
It’s crucial to get a pre-approval for a loan, whether through an affordable housing program or through a bank.
A realtor can help you navigate the process.
Real estate agents are experts on the ins and outs of home buying. Contact Sage for professional guidance.