First-Time Home Buyer in Wellesley: 5 Things to Know

First-Time Home Buyer in Wellesley: 5 Things to Know

  • Barber Real Estate Group
  • 07/17/23

Wellesley is a peaceful suburb located just outside of Boston. The area is affluent, with large, expansive homes, fabulous estates, and beautiful tree-lined streets. Properties in the area include luxury condominiums and single-family homes in both contemporary and historical architecture. Investing in real estate in Wellesley is a great option as the demand for this area continues to grow.

Wellesley is filled with history, family-friendly things to do, and plenty of locally-owned businesses, including eclectic shops and restaurants. There are also lots of green spaces, including public parks, playgrounds, nature preserves, and swimming holes in the summer. Wellesley is the perfect relaxing location just outside of Boston. It’s easily accessible via a short drive into the city and offers a short, easy commute for work or play.

Wellesley has amazing public and private schools, which make the area very popular with families. The neighborhood is also home to the prestigious Wellesley College, which offers a variety of programs.

If you’re a first-time home buyer searching for homes for sale in Wellesley, you might be wondering how to get started. Our guide will walk you through the most important steps for finding the perfect home and closing the deal.

1. Set yourself apart

When shopping for a home in Wellesley, the competition can get intense. What is the best way to set yourself apart when searching for a home? First, it’s important to get pre-approved for your mortgage. This is a process where the bank agrees they will lend you a certain amount of money for your mortgage. It shows the seller that you’re serious about buying and ready to put down an offer.

You should also be available to go to showings with ease. This will allow you to see more homes and make a move quickly if you see one you like. When you do find the perfect home, you’re going to want to make a competitive offer, with few to no contingencies at not below the asking price.

2. Find an expert real estate agent

One of the most important steps you can take when searching for a home is to hire a great real estate agent. Real estate agents are real estate professionals that will help you with every step of the home-buying process. They can help you find the best listings that fit your desired criteria and arrange for showings. They can also help you connect with other real estate professionals you might need during the process, such as a home inspector. A great real estate agent will listen carefully to your needs and work tirelessly to help you find the perfect home.

There is no better real estate group in the Wellesley area than Barber Real Estate Group. At Barber, the amazing team of agents is ready to help you through the entire process, making finding your Wellesley dream home a breeze.

3. Don’t put 20% down unless it makes sense

As a new home buyer, you might be wondering how much to put down as a down payment. Traditionally, people would save 20% of the home price for their downpayment. However, today there are many loan options for those that have less than 20%. So, what is the best option for you?

Putting down a larger downpayment has many advantages. It helps reduce your overall mortgage, thus reducing your monthly payments or the time it will take you to repay the loan. It also prevents you from having to pay mortgage insurance. Mortgage insurance is an additional policy that you’ll need to pay for if you have less than a 20% downpayment. The insurance covers the lender if you default on your payments. Mortgage insurance will increase your monthly payment and is an additional expense to consider. Having a larger down payment also makes you a more attractive buyer. It shows the seller that you are serious, motivated, and reliable.

Sometimes you might not be able to save 20% for a downpayment and choose to put less down. Many mortgage options allow for this route, but you should proceed with caution.

4. Be prepared to pay property taxes

Property taxes are taxes you pay on the total value of your property. In Massachusetts, the property tax rate is set by specific towns and cities. For details about Wellesley’s property taxes, reach out to the agents at Barber Real Estate Group.

5. Check out available loans and homebuyer assistance programs

When you’re shopping for a home as a first-time home buyer, you’ll want to explore the different loan options available to you. Conventional mortgages are issued by a private lender and are the most common type of loan. For conventional mortgages, buyers can put down as little as 3% as a downpayment but will need to purchase private mortgage insurance. Conventional mortgages are great for buyers that have a good downpayment saved and a good credit score. Conventional mortgages can have fixed rates, where the interest rate stays the same for the duration of the loan, or variable rates, where the rate changes with the national rates set by the Federal Reserve.

Another option for homebuyers is a government-backed loan. The government issues these loans, and each has a unique set of characteristics you’ll need to meet to qualify. For example, FHA loans are issued by the Federal Housing Administration. This type of loan requires a downpayment of at least 3.5% and a minimum credit score of 580. Another type of loan is a VA loan which is issued through the Department of Veterans Affairs. This type of loan has a lower interest rate than most loans and can be issued with no down payment for veterans that qualify.

Discover more tips for becoming a Wellesley homeowner

If you’re ready to embark on the journey of owning a home in Wellesley, you’re going to want to partner with real estate professionals who know the area inside and out. Contact Barber Real Estate Group today. They have an amazing team ready to help you with every step of the process and an incredible selection of properties to show you.

*Header photo courtesy of Barber Real Estate Group

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