Your Essential Guide to First-Time Home Buying in the Central Valley

Central Valley First-Time Buyers: Understand Your Options & Build the Right Plan

If you’re a first-time home buyer thinking about waiting until spring, you’re not alone...

Instead of waiting for the “perfect” season, focus on building the right team now.

Step 1: Your Realtor Is the Quarterback

• Neighborhood pricing trends
• School districts
• Property tax nuances
• Inspection risks
• Negotiation strategy
• Seller concessions and 2-1 buydown opportunities

Step 2: Pre-Approval Is Stronger Than Pre-Qualification

Pre-Qualification

• Basic review
• Often based on unverified information
• Weaker in negotiations

Pre-Approval

• Income documentation reviewed
• Assets verified
• Credit analyzed
• Guidelines applied
• Stronger offer position

Step 3: You Probably Don’t Need 20% Down

• FHA loans (3.5% down)
• VA loans (0% down for eligible veterans)
• USDA loans (0% down in eligible rural/suburban areas)
• Conventional 3% down programs
• FNMA HomeReady
• FHLMC Home Possible

Step 4: PMI vs MIP — What’s the Difference?

PMI (Private Mortgage Insurance)

• Applies to Conventional loans
• Required under 20% down
• May be removed once equity is reached

MIP (Mortgage Insurance Premium)

• Applies to FHA loans
• Includes upfront and monthly components
• May last for the life of the loan

Step 5: Budgeting Matters More Than Qualification

• Property taxes
• Homeowners insurance
• HOA dues
• Utilities
• Maintenance
• Emergency savings

Final Thought

Homeownership in the Central Valley is not about timing the market perfectly. It’s about timing your preparation correctly.

Contact Information

Rob Clark
Home Loan Consultant
Firestone Financial Group

📞 209-227-7745
📞 559-476-9279
📧 rbrtclark53@gmail.com
🌐 www.robertclarkloans.com

NMLS #357788
California DRE #01148307