Planning for your first house
Living on your own is pretty expensive! Especially today with the everchanging inflation. Planning for your first home can be a pretty big task to take on, but there are several options to help you get closer to getting into your first home!
Make a small down payment
Not all first-time homebuyers can make a huge down payment. Instead, you can make a lower down payment and finance more of the home’s purchase price.
The downside: Your monthly mortgage payment will be higher, or you’ll have to take longer to pay off your mortgage. In most cases, if the loan amount is more than 80% of the home’s value, you would also be required to pay for private mortgage insurance. This is a monthly premium that’ll be added onto your mortgage payment to provide security to the lender.
The upside: Your monthly housing costs will actually be applied to owning your property, rather than paying for permission to live in someone else’s property.
Shop for your mortgage
Centra offers a variety of mortgage options including a first-time homebuyer mortgage and zero down mortgage! If you have less than 20% to put down, these mortgage options could be perfect for you.
Get a roommate
Although it might not always be ideal, splitting your rent and other monthly bills will let you save more money each month! Plus, while you’re living with a roommate and saving that extra cash, you could be adding even more to your savings with our Cashback Checking or Debit Card Round Up! Everyday purchases you make could help boost your savings, getting you one step closer to getting into your first home. For example, if your purchased a $6.50 venti latte from Starbucks, $0.50 would automatically be ’rounded up’ and deposited into your Member Loyalty Account (MLA).
Move in with your parents
Now, hear us out. The idea probably doesn’t sound appealing, but even a few months of rent-free housing could allow you to save enough for a down payment.
Do your research!
Before you buy, research all the costs associated with becoming a homeowner such as property taxes, homeowners insurance, and home maintenance. Check out our Mortgage Center for more information.
Together, we can help get you in your first home!