Unless you are fortunate enough to have a substantial savings or income from some outside source, chances are you are going to need to get a mortgage to buy your first home. The financing process is complex and challenging for most people when they first go into it, but if you find the right lender that is willing to help you understand your options, it does not have to be overwhelming. However, you will discover that your mortgage options center around your credit. You need to learn what goes into your credit score, and how you can change that score, to get the best mortgage options – or any mortgage at all.

There are plenty of resources out there that can teach you about your credit. You want to know what your credit score is, but it is even more important that you know what affects that score. You may get pre-approved for a mortgage, but if you do something to knock your credit score, you could find that you are denied when you actually go to get the money for your home.

If you discover that your credit is not as great as you need it to be, take heart. You can repair it and get yourself in a good position. It will just take time, patience and discipline. By learning about your credit now, before you ever start home shopping, you will be taking care of the biggest factors in your home buying process. Once you own your first home it is critical to understand how one missed mortgage payment can affect your credit score. Keeping your credit in the best possible shape is always a smart consideration as it is a major factor in the interest rate you get on every major purchase that’s financed.

While you can certainly look through listings and shop around for a house on your own, you will quickly find that house hunting can become overwhelming and exhausting. There is so much to learn and so many mistakes you can make – costly mistakes – that hiring a Realtor will seem like the most obvious way to increase the efficiency of your buying process and to protect yourself. But don’t just go out and hire any Realtor. Like any job, there are some people that are great at real estate, and some that just want your money.

You should interview three or four Realtors, get references from recent clients, etc. Kyle Kiscock, a Real Estate agent from Rochester NY, does a great job explaining how to interview a buyers agent. You want to ask about not only how many homes the Realtor sells, but what price they sell for. You want an agent that knows how to price a home right the first time. The better the agent you hire, the better your home buying options are going to be.

Owning a home is more costly than many first-time buyers realize. There is no landlord to fix the broken water heater, for instance. You need to not only have enough money for the down payment and to pay the mortgage, but also to deal with possible emergencies. Talk with your real estate agent about how much you should have set aside for emergencies based on the type of home you are going to purchase. Real Estate agents like to call this being fiscally responsible when buying a home.

It is okay if you don’t have a huge savings to deal with every eventuality, but you do not want to be one of the first-time home buyers who has nothing set aside should something go wrong. Even a small savings can make a major difference, and help you avoid going into further debt, if you need to fix something in your new home.

Following some of these tips for a first time home buyer will not only increase your chances of having a smooth purchase but a continued positive experience with home ownership!

If you enjoyed these first time home buyer tips make sure you have a look at these fourteen additional articles all first time home buyers should read. This resource is packed with helpful tips for a first time buyer. Enjoy!