First-Time Home Buyer Presentation
Buying your first home is exciting, and it can also feel overwhelming. This is the same overview Alan walks through with first-time buyers when you meet. Read it here, then sit down with him to build a plan for your situation.
1. Why buy instead of rent?
- Build equity. Each mortgage payment pays down a loan on an asset you own, instead of paying a landlord.
- Stable payments. A fixed-rate mortgage locks your principal and interest for the life of the loan, while rents usually rise.
- Make it yours. Paint, garden, add a shop, get a dog. It's your home.
2. What can you afford?
Your price range depends on income, debts, credit score, down payment and interest rate. As a starting point, many lenders look for total monthly debt (including the new house payment) of roughly 43-45% of gross income or less. Remember to budget for more than the mortgage:
Monthly costs
Principal, interest, property taxes, homeowners insurance, HOA dues if any, and mortgage insurance if you put less than 20% down.
Up-front costs
Earnest money (often 1-3% of the price), inspection, appraisal and closing costs, usually around 2-5% of the loan amount.
A cushion
Keep some savings for moving, small repairs and furnishing after closing.
3. Loan options for first-time buyers
Conventional
As little as 3% down for qualified first-time buyers. Mortgage insurance can be removed later.
FHA
3.5% down with more flexible credit guidelines. A popular choice for first homes.
VA
For eligible veterans and service members, often with 0% down and no monthly mortgage insurance.
USDA
0% down in eligible rural areas, and parts of Garfield County may qualify.
Down-payment help
CHFA (Colorado Housing and Finance Authority) programs can help with down payment and closing costs for qualifying buyers.
4. Your buying team
Your agent (Alan) finds homes, advises on price and neighborhoods, writes and negotiates your offer, and manages deadlines through closing. Your lender pre-approves you and funds the loan. The inspector evaluates the home's condition. The title company verifies ownership, handles escrow and runs closing. Alan can connect you with trusted local professionals for each.
5. Making an offer in Colorado
Colorado uses a standard state-approved contract with deadlines for inspection, appraisal, loan approval and title review. These deadlines protect you, and Alan will explain each one before you sign. In competitive situations he'll help you shape a strong offer without giving up the protections that matter.
6. Common first-time buyer mistakes
- House-hunting before getting pre-approved
- Opening new credit cards or financing a car before closing
- Skipping the inspection to "win" a house
- Stretching to the maximum approval amount with no cushion
- Forgetting to compare commute, utilities and HOA rules between towns
See the full process in Steps to Buying a Home.
Schedule your first-time buyer consultation
Spend 30 minutes with Alan to go over your budget, loan options and the towns that fit. There's no cost and no pressure.
Contact Alan Call (970) 660-5125