Why Should I Take a Homebuyer Education Class?

“I’ve owned a home before.”

“I have friends in real estate, I’ll just ask them.”

“My [friend/family member] owns a home, so they’ll help me.” 

“I don’t have time.” 

It’s common to think you don’t need a Homebuyer Education Class, or that you simply don’t have time to take one. But historically, Shelby County has a high foreclosure rate – with some reports showing as many as one in every 71 home purchases. This is significantly higher than Tennessee or the United States as a whole, and experts agree that homebuyer education can help reduce that number. Here’s how a Homebuyer Education Class from United Housing can help any homebuyer – whether they’re experienced or first-timers.

Develop an understanding of the financial aspects of purchasing a home, including ever-changing mortgage rates and loan terms. 

A home is the largest asset most people will ever buy. The majority of people borrow money to purchase their homes, but countless factors dictate the terms of each individual loan, and your own circumstances affect how much you can (and should) borrow. 

When you find a home you love, it can be tempting to borrow as much as you can to purchase it – but a United Housing Homebuyer Education Class can help you determine what’s in your best financial interest with lessons like:

• Types of mortgage loans

• How an interest rate may impact your monthly payments and the total amount you’ll owe

• How the timeline on your loan impacts what you’ll pay monthly and over the life of the loan

• How your credit impacts the terms of your loan

• How to determine the amount you can afford to borrow

• How to manage your debt and finances once you buy a home

Learn about the roles of everyone involved in a home purchase.

How can you make sure your real estate agent is the right fit? What is involved in a closing, and how should you choose an attorney to handle yours? What should an inspector look at before you purchase? And how much should you pay for all these services? 

Countless people are involved in a home purchase, and it’s important to understand what they do, how they’re paid and what you should expect. With this knowledge, you can ensure you’re getting the best service and the best deal throughout your homebuying journey.

Familiarize yourself with the contracts involved in a home purchase. 

Buying a home can be legally complex. A United Housing Homebuyer Education Class helps prospective buyers learn more about the various contracts involved. You’ll gain an understanding of things like:

• Buy/sell agreements (including contingencies)

• Titles and title searches

• Mortgage agreements

• Inspection reports

• Insurance

Learn more about all the costs involved in a home purchase. 

In addition to the sale price, home buyers often encounter other costs. It’s important to consider the complete picture before setting your budget. A United Housing Homebuyer Education Class will cover things like:

• Insurance (which is typically required for mortgage loans)

• Property taxes

• Additional costs associated with purchasing the home (legal costs, real estate agent fees, inspection fees, etc.)

• Down payments (and/or mortgage insurance, depending on your specific situation) 

• Utilities

• Home maintenance and repair (before moving in and ongoing)

• Homeowners’ Association fees (if applicable)

Ready to jump-start your homebuying journey? United Housing Homebuyer Education Classes are available virtually or in-person; on weeknights or weekends; in Spanish and in English; and in every month of the year. Register at least 24 hours before our next class to guarantee your spot!