The Homebuyers’ Guide to Finances

Buying a new home is a big commitment and managing the financial side of things can be intimidating, especially for first-time buyers. To help you along, we’ve put together these slides highlighting some of the milestones, requirements and other things you should know about when buying a new home. Regardless of where you end up buying, it’s a good idea to go through your contract and all of the financial details of your sale.

Ready to Explore?

If you’re new to Empire, please feel free to explore our list of communities. You can also visit our Community Page to access all of our active communities, or you can contact us and connect with one of our representatives, who will be more than happy to answer any questions you may have about buying a new home.

What’s Affordable?

Not sure how much you can pay for a new home? Don’t worry this is very common. We have preferred lenders that can assist you. Home price is just one of the many factors to consider. There are other things that go into your monthly expenses such as taxes, homeowner association dues and insurance. You don’t have to commit to the lender and getting pre-approved will give you a realistic price range. Even with a price range in mind, build a monthly budget forecasting your future mortgage payment, taxes, utilities and household expenses. Also, consider setting money aside for the closing costs of buying a new home.

Saving Up to Pay Down

You’ll need to make a down payment or deposit on your new house, which is calculated as a percentage of the purchase price. Deposit requirements vary. Keep in mind that the more you pay up front, the lower your mortgage.

Leave Room For Upgrades

One of the best things about buying a new home is how you get to personalize it by selecting your decor, which includes everything from backsplash and countertops to flooring and lighting. You’ll also likely have a chance to browse and purchase decor upgrades, which are signature design extras for your new home—like a spectacular fireplace, for example. Experienced buyers will sometimes set aside a bit of their total home-buying budget to allow them to splurge on upgrades later.

The Agreement of Purchase and Sale

With down payment money set aside, a pre-approved mortgage in hand and a realistic budget in mind, you’re ready to buy. That means entering into an agreement of purchase and sale, which is a legal contract between you and the builder, signed by both parties. This contract describes the home, home address, legal description and other important points. You provide your deposit check with the signed agreement.

Meeting Milestones

Once you’ve provided your deposit check with the signed agreement, the builder will take it from there, keeping you informed of your commitments and the building progress. You’ll be expected to meet your key payment milestones (as per your agreement of purchase and sale) and will be asked to select the decor for your new home, including any upgrades you might want.

“Closing” the Deal

Closing a home is the last step in taking ownership and usually happens the day you hand in paperwork and pay taxes, fees and other closing costs. It’s also the day you get your keys! The builder determines the home closing date once the home is complete. We have put together a homebuyer closing guide, complete with a downloadable checklist, to help you anticipate what to expect at closing.

The Key to Happy Ownership

For many people, home ownership is a dream come true. At Empire, our goal is to ensure our homebuyers are happy and so we encourage everyone to buy a home that’s just right for their needs and to protect their investment through routine maintenance. Above all, when going through this process, we suggest you take your time, consider all of your options, ask experts for help and plan your finances carefully.