Question: How was buying a home for you?  How was acquiring a mortgage?  I am going to be purchasing one soon...? I'm buying a small starter house with my sister.\nMy credit is in the mid 700s and my sister has only had one credit card in her name (paying off monthly).\nWe have about $15k in savings.\nI work part time, she works full time but only $7-8 an hour.\nI'm fairly certain the payment will be less than the $555 rent I am paying now by myself, plus we will be gaining equity.\n\nHow was your experience purchasing a home?\nI have a credit union, will rates be cheaper there?\nWhat and how much fees will be involved?  Inspector?  I will not have a buying broker, but they are selling thru a realtor.  Do I need a lawyer?\n\nPlease let me know the good and bad things you have encountered while buying your home.  Thanks!

Answer: The first home is the most challenging...so many questions.  But so much fun!\n\nIf the seller is using a broker, you should as well.  The seller is paying a set percentage to the agent (usually 5%-7%) of the sales price which gets split between the agents.  Your agent should be with a different agency to prevent conflicts of interest (there are never supposed to be conflicts, based on Realtor ethics codes enforced by the National Association of Realtors, but it's always better to be safe).  Your agent won't cost you a dime, and you'll have the benefit of representation.\n\nAn attorney (or title company, depending on your state) conducts the closing in all non-cash closings.  Don't get too anxious about specific attorneys, as long as they are reputable, they should be fine.  You could always pick a seperate one from the seller, but it isn't always necessary.\n\nYour fees will depend greatly on your shopping ability.  I suggest printing a copy of your credit report and carry it with you until you find a bank/mortgage company/credit union you are satisfied with.\nAsk questions like what is the APR you are offering.  The APR takes into account all points (a point is equal to 1% of the loan), fees, junk fees, origination fees, and the interest rate.  **Comparing APRs will allow you to compare apples to apples**  Comparing interest rates alone forces you to compare apples to oranges, bannanas, and even watermelons!\n\n**Check with your newly aquired realty agent, or the lenders that you are shopping with, on the availability of 1st time homebuyer incentives....there are litterally hundreds available that will reduce your down payment, APRs, points required, etc.***\n\nThis should be a lot of fun!  Remember that it is OK to get emotional regarding the house, but wait until you have closed and have the keys in your hand.  Keep emotion out of the shopping and financing portion of the process.\n\nHave a great time in your new home!  Best of luck.
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