First Time Home Buyer in Montana: 5 Words of Wisdom

Missoula adopted a new policy recently that made housing more affordable for new home buyers. In many areas like Missoula, it’s easier than ever for a first time home buyer in Montana to buy a house.

Are you a first time home buyer but you’re not sure where to start?

Planning, budgeting, and research are all critical when buying a home for the first time. These five expert tips will help get you started on your home search so you know what to expect.

  1. First Time Home Buyer in Montana? Take a Class for New Homeowners

Did you know there are classes for potential homeowners? These courses teach new buyers how to prepare for the home buying process.

You can expect to learn all about home ownership, including these topics:

  • Assessing home buyer readiness
  • Budgeting and saving
  • Finding and financing a new home
  • Home upkeep and maintenance
  • Financial advice and resources for new buyers

Classes may be online or in-person and vary in price depending on the organization.

  1. Decide on Your Budget

Many home buyers pay too much for their housing. Deciding on a budget before you start your search helps you avoid falling into debt.

First, add up your monthly household income. Make sure to include all income sources. Once you have your monthly income, subtract your monthly expenses from that number.

As a rule, your housing payment should be 25 percent or less of your monthly take-home income.


  1. Talk to a Mortgage Broker

If you’re unsure what your budget should be, it’s always a good idea to consult with a mortgage professional first. A mortgage broker serves as a middleman between you and any lenders. They do all the hard work of finding the best interest rates and help you find a mortgage you can afford.

To avoid overspending on your mortgage or buying a home you can’t afford, it might be best to talk with a broker first.

  1. Find a Real Estate Agent

Many new home buyers skip hiring a real estate agent and look for a home on their own. But there are benefits to hiring an agent especially if you’re unfamiliar with the Montana area.

Trained real estate agents have an intimate knowledge of the area. They have information on comparable home sales and market conditions.

Discuss your must-haves with your agent including any deal breakers. Think about school systems, proximity to work, and any amenities you want.

  1. Need Help with a Down Payment? Consider a Personal Loan

Have you held off on buying a home because you can’t afford the down payment or closing costs?

Sometimes finding a home loan for a single mother or someone with poor credit can be a challenge. Thankfully, there are home loan assistance programs that can help you cover extra fees such as down payments and closing costs.

Montana has several down payment affordability programs to help new home buyers bridge the affordability gap. Services like Bonsai Finance can also help you find a personal loan to help cover these costs, even with bad credit.

Use These Tips to Find Your Dream Home

Whether you’re a current or future resident, these five tips for a first time home buyer in Montana will help you find your dream home.

To avoid overspending, make sure you budget and get a mortgage you can afford. Plan ahead and talk to a real estate agent for insider information on the area.

Make the home buying process easy by preparing in advance. Do research online to learn all about the area and what Montana has to offer you, then come back and browse our site for more interesting articles.