Hi, Shannon, I can give you some guidance regarding your expected costs. With an FHA mortgage the minimum you can put down is 3.5% , so let's say you have an accpeted offer of 320,000. The downpayment will be 11,200 which includes the 1,000 good faith deposit check that you will be asked for when you make the offer. Then the closing cost are aproximately 10,000 which include mortgage company taxes, lawyers fees, title search, title recording and s.o. You can include this sum in the mortgage by asking for a seller's concession of 10,000. This sum is put in the contract and they disburse the funds to you at the closing so your purchase price will show as 330,000 but you will get 10,000 back from the seller. You still have to pay for this money, only it is added to the mortgage so you don't have to pay for it upfront. It has become a very common practice. Your other out-of-pocket expected costs will be : 400$ for the home inspection ( I know a very good inspector who charges much less than the competition !) which you will need 7-10 days after the attorneys' review (the period, usually a week after the contract is signe by both parties,when the seller's and buyer's attorney review the contact and make it legal). Then there is the bank appraisal which is aprox 400 and comes 7-14 days after attorneys' review. The bank will send a certified appraisor to make sure that the property you are buying is worth the money they are lending you.
These are pretty much the costs you can expect. The appraisal fee and the inspector's fee can also be charged on credit cards so basically you need the 11,200 in my scenario.
I hope to have been of help. If I can help more, don't hesitate.
My e-mail is daniela.mateescu@coldwellbanker.com and my cell is 551-795-5556

Shannon, earlier advice is absolutely on the money as to importance of speaking with mortgage brokers. Some will handle many different lenders some will only work for one. Contact those your agent works with as he/she may have immediate access. If they dont also work with Chase, Citi Bank Wells Fargo and WAMU, make some calls on your own. Truth in lending will require you be give an estimate of your closing costs.
Give a lot of thought to running the no money down route (especially if you are stretching or arent too good controling your spending) Some of the reasons we have so many current foreclosures is people borrowing too much, volatility in rates and just plain bad credit risks. Currently you can likely rent much more house than you can buy. Consider saving another 6-12 months. Prices have been dropping and predictions are that may continue. When you have more to put down you become a better buyer and may negotiate better terms.

Hi Shannon.

Remember, your home is probably the biggest purchase your family will ever make, and it involves many decisions that go beyond simply choosing one you like. Making the transition from renter to first time owner can be as stressful as it is exciting and it's natural to feel a bit unsure or intimidated by the whole process of buying a home. As an experienced first time buyer’s agent, it's my job to guide you, from beginning to end. I will take the time to go through each and every step of the buying process. From finding the right property to negotiations and moving in, I'll be right by your side to make sure everything runs smoothly.

In addition, I have a strong market share in Bloomfield and having grown up in that area I know the town and area very well.

With all that being said, your mortgage payment should include your real estate taxes and homeowner's insurance. Buying your first home usually entails paying the homeowner's insurance policy for the first year in full before you can close on the house. The inspection should run approximately $450-$500 sometimes it also depends on the size of the home. Some buyers wrap their closing costs into the life of the loan. Your loan officer will be able to breakdown the closing cost fees.

I have helped many families buy their first home and I would love to work with you too. Please contact me so we can talk and you can decide if you would like to work with me.

Gina Chirico, Sales Associate
Prudential New Jersey Properties
973-228-1000 ext 132
973-715-1158
GinaChirico@PruNewJersey.com

With an FHA loan you can put as little as 3% down if you qualify. There are also programs for you with grant money available. If you would like the names of a few good mortgage reps, contact me via Trulia or my website, below.
Don't forget your homeowners insurance as part of your monthly payments or you can pay the policy in advance, too.
You will also want to do a home inspection. That will run around $500 and you will pay it before you close at the inspection or before, depending on the company. I can recommend a few good inspectors, as well. Also, you might have an application fee for your mortgage. Try to get that waved by getting a referral from an agent.
Good luck.

Speak to a good mortgage advisor, they will give you an estimate of your closing costs. Your agent should also be able to provide you with that. I give all my first time buyers a first time buyer kit that has a lot of information on the buying process. Take your time, and make sure you understand all the loan terms. If you aren't sure what something means, then just ask. There are no stupid questions, be informed, it is your money.
There are many programs for first time buyers with smaller down payments. Do your research to find the right loan for you.
Please contact me through my website if you need any more information.
Good luck to you!
Sharon Kozinn

Go with an FHA loan and find a buyer agent who works well with first time homebuyers. Use MEMBER SEARCH on Trulia. Call several on their cell phones. Ask them to tell you about their experiences with first time homebuyers. FHA lets you do low down payments.