Steps for Buying a Home

Be Prepared for the Home Buying Process

Buying a home is an exciting and significant decision, but it can also come with its share of anticipation and anxiety. We’re here to help guide you through your home-buying journey with expert advice and clear steps to make the process smoother. To prepare for this major investment, here are a few suggestions.

Follow these steps to get your home-sweet-home:

1. Check Your Credit

It’s a good idea to check your credit score at least 6 to 12 months before you begin house hunting. This gives you time to address any issues and improve your score if needed. Your credit score plays a crucial role in determining whether you qualify for a mortgage and can also affect your interest rate.

2. Save Money

While it's often recommended to put down a 20% down payment to avoid paying mortgage insurance, there are other options available. Many mortgage programs require just 3% to 5% down. Keep in mind that you will also be responsible for closing costs, which typically range from 5% to 7% of your loan amount. Budgeting for both your down payment and closing costs will help ensure you’re fully prepared.

3. Determine Your Budget

Before you start looking at homes, it’s essential to understand how much house you can afford. Using an online mortgage calculator can help you estimate what fits your budget. Don’t forget to factor in how much you’ll need for a down payment as well. Understanding your budget upfront will set realistic expectations as you begin your home search.

4. Don’t Rush

Buying a home is a big decision that shouldn’t be rushed. It’s easy to feel pressured to make quick decisions, but moving too fast can lead to costly mistakes. Take your time to carefully evaluate homes, compare options, and get a professional home inspection. Rushing might result in you purchasing a fixer-upper when you were expecting a move-in ready home.

Grants for First-Time Homebuyers

If you’re a first-time homebuyer, you may qualify for the FHLB Homeownership Set-Aside Program Grants. Available starting March 3, 2025, while funds last, these grants offer up to $15,000 to help you purchase your new home. To check if you’re eligible, review the requirements at Skyward Credit Union's FHLB Program. But hurry! Funds are limited.

Get Pre-Approved!

Once you’re ready to start the home-buying process, the next step is getting pre-approved. You can apply online or in person at Skyward, or call us at 316-440-9690 for a personalized rate estimate. Our team is here to guide you through the entire process, making your home purchase as seamless as possible.