So you want to be a First- Time Home Buyer: Interview with Lauren Allah (@IamLaurenLyrics)

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So you want to be a First- Time Home Buyer: Interview with Lauren Allah (@IamLaurenLyrics)

By: Brianna Forde

Lauren Allah is a 25-year-old powerhouse that, not only, is an entrepreneur, owner of @KatchKollection, but also, is a Licensed Realtor.  After graduating from college and starting a 9-5, Lauren realized she wanted more money and time to do what made her happy. As a Realtor, she has been able to both make more money selling real estate part-time and having the time to focus on her business. This balance of her aspirations to create her own lane and secure the bag was difficult for Lauren to fully pursue with her previous full-time job. Twenty Somethin' & Black caught up with Lauren to share with us how to prepare to become first-time home buyers.

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What is the difference between buying a home versus a condo? 

Most condo's have a monthly association fee which, typically, minimally covers the cost of lawn care , snow removal, and outside maintenance.  This is typically the determining factor for those who choose to buy a condo over a residential home.  

What do I need to do to get financially prepared to become a home-buyer?

When preparing to purchase a home, you must realize its more than just being able to pay your down payment and monthly payments. A homeowner is also responsible for the upkeep and maintenance of the property.  If you are transitioning from an apartment to a home, this could prove to be financially overwhelming.  

How long does the process take to ‘get the keys’? 

It takes approximately 30-45 days to close a typical transaction.  

What are the pros and cons of buying a home in my twenties? 

The pros:  if you're able to obtain a good deal, while interest rates are low, your mortgage payment will likely be far more reasonable than rent.

The cons: you may feel a bit confined.  Many young adults wake up and decide to move out of state, decide to go back to school etc. Homeownership means more of a commitment is required than a 12 month lease so you have to know that you're ready. 

Should my best friend and I buy a home together? 

Absolutely not. You two will eventually grow apart whether one enters into a relationship and/or decides to have a family of your own.  If so, do you sell the property? Do you buy the other out?  Is it a 50|50 split?  Many problems could arise in a situation like this. 

Can buying a home or condo help my credit?

Yes, having a mortgage can actually increase your credit score. 

What loans are available for first time home buyers?  

FHA offers a program for low to moderate incomes which can give a buyer up to $7500 in grant funding that can be used towards your down payment and closing costs.  

If I have “bad credit” am I still able to get a loan for a house?  

No. 

How can my job help me in buying my first home? Do jobs offer assistance?

Each employer is different.  You would need to contact your human resource department to see if they offer any incentives for a home purchase.  

Anything else I need to know if I’m interested in buying my first home or condo?  

Continue to save, save, save. There are lists of costs and upfront expenses that most buyers aren't aware of such as the cost of the appraisal, and inspection moving expenses.  These costs begin to stack up pretty quickly.  So, the more you save, the less stressful your purchase will be.  

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