Start the New Year right by setting resolutions for buying a home in 2025. Here are five key steps to help make it a successful year for homeownership.

1. Know What You Can Afford: Assess your income, spending, and savings to figure out your budget. Bay Equity Home Loans provides online tools to help estimate what you can afford, keeping your mortgage under 28% of your monthly income.

2. Understand Down Payments: Don't assume you need 20%. Many buyers put down less than 10% as a down payment. At Bay Equity, we have down payment assistance (DPA) programs allowing down payments as little as 3%. If you are a veteran or active-duty military, you may be eligible for a loan with zero down.

3. Get Pre-Approved: Bay Equity will assist you in the process, which involves submitting income, debt, and asset documentation, plus a credit check. A pre-approval letter from Bay Equity lets you shop confidently within your budget, and close quickly when your offer is accepted. Sellers prefer pre-approved buyers who are more likely to successfully close the loan.

4. Explore Mortgage Options: Choose the right mortgage for your situation. Fixed rates are common, but an adjustable-rate mortgage may work better if you plan to move within a few years. Interest rates can greatly affect your loan and how much home you can afford. Your credit history, the type of mortgage you choose, loan amount, and current market conditions are all deciding factors.

5. Work with Professionals: At Bay Equity, our mortgage professionals guide you through the process and help you find the best loan product for your situation. We are a full-service home mortgage lender. From first-time home loans to home refinancing, we can help with whatever your home loan needs may be.

With these resolutions, Bay Equity can help better prepare you to make homeownership a reality. Contact us today for a free consultation.

We’re here to get you home in 2025.