Austin First-Time Homebuyers

Austin First Time Homebuyer Loan

Common Questions

Allow us to assist you through every step of the First Time Homebuying process. We are with you from getting started to closing. Allow our Austin Mortgage team to offer impeccable customer service.
Get Started – Austin Mortgage

Why should I buy a home, instead of rent?

When you rent a home or apartment unit, you write a monthly check with no chances of ever getting your money back. A home of your own is an investment. Most homes increase in value over the years and you will enjoy having property that is all yours, which is probably the greatest benefit of all.


What are “HUD homes,” and are they a good deal?

An HUD home is a 1-to-4 unit residential property obtained by the U.S. Department of Housing and Urban Development, or HUD, as a result of a foreclosure action on an FHA-insured mortgage. The HUD then takes ownership of the home, and sells it at market value as quickly as possible. Therefore, HUD homes can be a very good deal in some circumstances.


Can I still qualify for a mortgage loan if I have past credit issues?

Today, many people have found themselves with financial difficulties. When the desire to purchase one’s first home sets in, many people often question what chances exist if they have stumbled upon financial problems in the past. Lenders may looks at the following questions regarding credit:

  • What situation caused the financial difficulty?
  • Under what circumstances did the specific trouble fall under?
  • What steps did this person take to resolve the issue?
  • Were any measures taken to prevent the situation from reoccurring?
  • Has this person reestablished themselves financially?


Should I use a real estate agent? How do I find one?

We recommend using a real estate agent; please contact us if you would like a referral for a wonderful real estate agent in Texas. Your first experience buying a home should be an enjoyable one. Therefore, it is a good idea to leave all of the small details involved in purchasing a home to a professional. Real estate professionals can guide you through the entire process and make the experience much easier. Real estate brokers provide answers to questions you have regarding ideal neighborhoods, the quality of schools, overall safety of the area, traffic volume, and much more. Your agent helps you stay within your budget and gives you immediate access to homes as soon as they’re placed on the market. Last, when you find the home you want to purchase, your real estate agent helps you decide what amount to offer.


How much money will I need to save in order to buy my first home?

Numerous factors affect how much money is needed to purchase a home, including the cost of the home and the type of mortgage for which you qualify. Typically, there are three costs that need to be covered. They are:

  • Earnest Money – the deposit you make on the home when you submit your offer, to prove to the seller you are serious about want to purchase the home.
  • Down Payment – a percentage of the cost of the home
  • Closing Costs – costs associated with processing the paperwork to buy a home


How do I know if I qualify for an Austin mortgage loan?

We take pride in offering a wide array of loan products. Some mortgage loan options include FHA and VA, Jumbo loans, permanent construction financing, refinancing options, and relocation programs—just to name a few.

In addition to the mortgage payment, what other costs should I consider?

To start, your monthly utilities. Your real estate broker can assist you in getting information from the seller on how much the monthly utilities normally run. You may also have homeowner association or condo association dues. Last, you have property taxes. Most of the time, your taxes will be rolled into your mortgage payment.

What will my mortgage cover?

Most loans have four distinct parts:

  • Principal: the repayment of the amount you borrowed
  • Interest: payment to the lender for the money borrowed
  • Homeowners Insurance: monthly amount to insure the property against loss from: fire, smoke, theft, and other hazards required by most lenders
  • Property Taxes: annual city/county taxes assessed on your property, divided by the number of mortgage payments you make in a year


How do I know which mortgage program is best for me?

We work with you to find a mortgage program that achieves your overall financial goals. We take pride in offering a wide array of loan products. Some mortgage loan options include FHA and VA, Jumbo loans, permanent financing, refinancing options, and relocation programs—just to name a few.

When I find the home I want, how much should I offer?

Your real estate broker can play a big role here. However, listed below are a few things to consider:

  • The prices of similar homes in the area
  • The condition of the home and the costs of any repairs needed (a proper home inspection can help you with this consideration)
  • Amount of time the home has been on the market
  • Mortgage amount required
  • How much do you want the home?


What if my offer is rejected?

Don’t panic. Your broker can help you negotiate the offer. Often, negotiations on price go back and forth several times before a deal is made. However, don’t lose sight of what you really want in a home and what you can actually afford.