First-time Homebuyers

This area of the website is designed for both the first-time buyer and home owners who need a refresher on home buying. A 'first time buyer" is defined by Fannie Mae as someone who has not owned a property in the last three years.

Buying a home is easier than you think. The most important thing you can do before you buy a home is become educated, know your options and be prepared.

This starts with such things as researching and understanding your credit as well as understanding ways to save for the required downpayment. Another important first step is to know which lender to contact after you've reached the steps required in preparing for your home buying adventure. I can help you with that difficult task. I know some of the best lenders in the city.

Look to the first time buyer frequently asked questions page for answers to many of your questions. There is a first-time buyer webcasts link where you can view a series of videos produced by the government for first-time buyers. Please review my buyer's pledge which discusses my commitment and dedication to you. It also reviews some of the basic services you can count on from me as well as an explanation of my goal to be a fiduciary agent versus a functionary agent. Basically its a trusted representative who works WITH you and who proactively works to help you meet or exceed all of your home buying goals and expectations.

Look at this example from author David Bach ("The Automatic Millionaire") on how to start saving money. He calls it the Latte Factor which essentially gets you to start focusing on those small expenses (lattes, bottled water, eating out) which may seem inconsequential, but over each day for a year add up to enough money to invest in real estate:

What is The Latte Factor®?

The Latte Factor® is based on the simple idea that all you need to do to finish rich is to look at the small things you spend your money on every day and see whether you could redirect that spending to yourself. Putting aside as little as a few dollars a day for your future rather than spending it on little purchases such as lattes, fancy coffees, bottled water, fast food, cigarettes, magazines and so on, can really make a difference between accumulating wealth and living paycheck to paycheck.

We don't even realize how much we're actually spending on these little purchases. If we did think about it and change our habits just a little, we could actually change our destiny.

Still not convinced? Consider this:

$5 per day (the average cost of a latte and a muffin) x 7 days = $35 per week

$35/week = $150/month

$150 per month invested at a rate of 10% annual return =

1 year = $1,885
2 years = $3,967
5 years =$11,616
10 years = $30,727
15 years = $62,171
30 years = $339,073
40 years = $948,611

Take action today!

To get started you've got to identify what your Latte Factor® actually is. The best way to do this is to track your spending for a full day. This simple exercise can be life-changing.

Once you know where your money is going and how much your Latte Factor® is costing you, use our Latte Factor® calculator below to see just how much you could save in a few years. It adds up, so don't delay...get started today!

Watch this short flash video

Now, another equally savvy way to start getting your downpayment money is to have your office take out $100 per pay check and have it transferred directly into your savings account. DO NOT HAVE CHECKS FOR THIS ACCOUNT. THIS IS WHAT YOU WILL USE TO MAKE YOUR DOWNPAYMENT!

Now let's do that math:

$200 per month = $2,400 /year. That would give you enough of a downpayment to purchase a condo in the city even after closing costs and fees.

There are many other ways too get that money (and even more!)

Option 1: Borrow the money from the bank (known as No Down Payment or 100% financing)

Option 2: Borrow the money from a relative

Option 3: Borrow the money from your retirement account (careful here, there can be penalties)

Option 4: Make a radical life change for 12 months and save more to buy more (David Bach has an accelerate plan called the Double Latte Factor® which expands saving money by cutting out un esentials like premium channel tv, land line phone & cell phone (converge or reduce minutes), eating dinner out at restaurants, etc etc

Visit his website www.finishrich.com for an interesting look at investing for a wealthy life in real estate.

If you haven't already received my emails or letters, please email me or call me at 773.252.HOME and I will be glad to put you on my list of subscribers to this important educational campaign I have setup for first time buyers. There is NO OBLIGATION and NO COST.

Some of the topics included in the first-time homebuyers package I can send you include:

• Lender monthly pricing and loan options
• iI's easier than you think
• So many advantages
• A major step
• The latest technology
• A dream come true
• A family needs a home
• Free market updates
• Tax benefits
• Maybe you qualify
• Build equity though ownership
• How to time the market

Send me an email or call me and I will gladly include you in this no cost/no obligation subscription. You can unsubscribe anytime if you feel the information is not useful, but I am confident you will like what you see. I offer this service because I believe first time home buyers are often forgotten by real estate agents and I want to make sure entering into the home buying process is as smooth and rewarding a process as possible for you.

You may feel you are not ready yet, but aim for the future and prepare yourself now. I don't mind waiting ....I am not going anywhere.

Sincerely,

Jim Gramata