Tips For First-Time Home Buyers 


Recent reports and market stats have shown gains in new home sales and home prices, growth in consumer and builder confidence, and a slight increase in mortgage rates.  The long-suffering real estate market has been showing signs of health, and these positive numbers seen over the last few weeks may just indicate that the U.S. housing market has hit bottom and is now on an upward track towards a sustainable recovery.  This presents prospective home buyers with a great opportunity to take advantage of current market conditions and purchase new homes for sale in Birmingham AL while mortgage rates are still near record lows.

Buying a new home in a a golf resort community like Ross Bridge can be a big decision, but the investment can have an even bigger payoff in the end.  Here are some tips to consider while searching for new Birmingham homes for sale:

Decide what community will meet all of your needs.  Ross Bridge is an award-winning new home community that offers potential buyers a “front porch-friendly” neighborhood style of living that gives residents the opportunity to bond with their neighbors, raise their families, and enjoy life.  Located in a prime location just outside of Birmingham on approximately 1700 rolling acres, the Ross Bridge community presents buyers with a combination of home styles, a range of prices, world-class amenities and all of the conveniences of a resort community.  Each neighborhood in the community is unique, and has its own landscaped park along with tree-lined streets and sidewalks.  The Ross Bridge Village Center, carefully planned after historic resort towns of early America, includes shops, dining, entertainment, services and “live-work” options to meet the needs of Ross Bridge homeowners.  The community of Ross Bridge also includes a world-class golf resort and spa located on the Robert Trent Jones trail.  Year-round events and amenities make Ross Bridge an ideal new home resort community for first-time home buyers and their families.

Have a realistic budget.  Ross Bridge offers an array of home styles with a range of prices suitable for various stages in life.  Potential home buyers looking at Ross Bridge homes for sale could choose a James Hill starting from the upper $230s, or they could choose a new home from the Grand Avenue Home Collection starting in the $840s.  Whatever your budget, Fannie Mae does recommend that buyers spend no more than 28% of their income on housing costs.

Make sure your finances are in order.  A new home buyer will need to get pre-approval for a loan, get some type of home insurance, and be able to pay closing costs.  New and innovative loan programs have emerged over the years that require a 5% or less down payment, with some allowing buyers to put no money down when purchasing a home.  Not everyone chooses to put little or no money down, however, the reason being that less money down means higher mortgage payments each month, in which case, most home buyers will put some cash up front.  Future home buyers will also need cash for closing costs in addition to a down payment.  These include title and settlement fees, lender fees, taxes as well as prepaid items such as HOA fees and homeowners’ insurance.  Every new homeowner should have some type of insurance to protect them in case of a catastrophe.  There are four main types of insurance associated with homeownership, and they include homeowners’ insurance, title insurance, home warranties, and flood insurance.

Always keep the “BIG Picture” in mind.  Purchasing a new home is an exciting venture.  It can be a great investment as well as a way to build wealth.  Positive trends in the current real estate market have encouraged more “on-the-fence” types of buyers to look ahead and see that the U.S. housing market is headed in a direction towards recovery.  Recent industry reports show signs that   home values are likely to keep rising.  Views toward the future are optimistic and have caused more and more first-time home buyers to purchase a new home for sale in a new community like Ross Bridge.