A first-time buyer class can be the grant ticket, down payment assistance, and a lower monthly payment. Find the right mortgage, mortgages
First-class of buyers
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You have been offered a first-class buyer, possibly through a lender, friend, or real estate agent. And you think, “What’s the point?”
But what if you had a little change for the classroom? Indeed, it is possible.
A homeownership course and certificate you receive after graduation can be your ticket for a grant or filing assistance. At the very least, it can show you how you can save hundreds if not thousands of dollars on a mortgage.
All of these can result in a lower monthly mortgage payment.
What is a first-class buyer?
This is a content course taught by the US Department of Housing and Urban Development. While HUD does not offer grants or help with down payments, many states, local governments, and nonprofits will need it.
These training workshops are designed to help borrowers qualify for a mortgage and guide the home buying process.
What is covered in a first-time buyer class?
Melinda Opperman is Executive Vice President of Credit.org, a nonprofit provider of personal finance education. The company offers home buying courses in Southern California and online through ehomeamerica.org.
Opperman says both newbies and so-called boomerang buyers who are recovering from past financial difficulties find the lessons worth it.
Many buyers who take the course, especially those who are returning home after losing their home, say, “I didn’t know about this. I would have done things very differently, ”says Opperman.
A typical class covers topics such as:
How many houses can you afford?
What do you need in your home (“You have animals, so you can
I really need a back yard. However, you might not need a three-car garage, ”Opperman suggests as an example.)
- What home loan products to consider.
- How to compare brokers and lenders.
How to improve your credit score.
When should you take a buyer training course for the first time?
While many borrowers view the class as a requirement of the lender in order to qualify for a specific loan or assistance, Opperman says many participants wish they had taken the course much earlier in the home buying process. Potential buyers should take the course before doing anything.
MELINDA OPPERMAN, PRESIDENT OF CREDIT.ORG
In fact, he says, potential buyers should take the course “before they do”.
“If you decide to buy a house, take a class,” says Opperman. “We’ll show them how to compare prices with different lenders. How to interview and find a real estate agent, then compare three different real estate agents. “
The course helps buyers “avoid going into homes that are out of reach,” Opperman adds.
Participants who complete the course will receive a HUD-approved certificate that will help qualify borrowers based on their financial eligibility for grant and down payment assistance programs.
How much does a class of buyers cost?
Some training courses for home buyers are free. If there is a fee, classroom lessons can cost anywhere from $15 to $30, according to Opperman, more than offsets the cost of materials.
Online courses, which can last anywhere from six to eight hours, can range from $75 to $125, but offer the flexibility to take the course at your leisure and at your own pace.
How to find a training course for home buyers
It is a good idea to check with the housing agency in your state that offers first-time homebuyers assistance programs.