If you're looking to buy a HomePath home, whether you're buying your first home or your fifth, the experience can be exciting, confusing, overwhelming and wonderful — all at once! Buying a Fannie Mae-owned home isn't much different. We're here to help you through the process with tools and resources.
If you want to purchase a home, you'll need money to pay for it. And, most likely, you'll need a mortgage. But despite what you may have heard, getting a loan may not require a perfect credit score or a huge down payment. However, it is helpful to get your finances in order before you start housing hunting or before you speak to a lender.
Here are some important steps to help you evaluate just how financially ready you may be to purchase.
Understand what you can afford. If you want to buy a home, you may need a mortgage to finance the purchase. But how much mortgage do you need? Take a close look at your budget to see how much you're spending each month on housing and what's affordable for you (i.e., can you spend more, less, need to stay the same?) Don't forget, you'll also need to budget for other expenses to maintain the home as well as general homeownership costs—and these may be not be in your current budget if you are renting.
To help, use these handy tools to estimate your affordability and potential mortgage costs (mortgage payment, down payment, interest, etc.):