Preparing to buy my first property. Where to start?

Question

Ok, so this is my situation:

I've got $2,000 in my savings account. I plan on saving $200 a month until November, which is 8 months from now. By then I will have another $1,600 and total I'll have $3,600 for my downpayment on an $80,000-$100,000 home. (Considering it would be 3-3.5% down)

I plan on going through a first time home buyers program.

( also, note that in November, my lease will be up on my current residence in which I am renting. I want to move into my first property directly from the one I stay in now.)

My question is, when should I start searching for a home? And getting preapproved and all that?  I don't want to waste nobody's time by starting the process and have it be too early for whatever reason, but I know that I'll have my 3.5% by November.

I have an agent I spoke to not that long ago, but I didn't want to start the process with her or any lenders until I had my downpayment together. What do you guys think? Should I start talking to my agent now? Should I get pre approved first? Should I save more? Or should I wait until 2-3 months before November, or what? Any advice would help. Thanks in advance.

Rich Cee · Answer

@Jonathan  Perez I spoke with my broker a while ago and she suggested 6 months of whatever the mortgage payment may be and if a condo then add 6 months of the HOA fees. The banks like to see a safety net of sorts so get an idea of what your mortgage may be like and times it by 6. Take to a broker here on BP or call one near you to discuss the details. Good luck!

Jonathan Perez · Answer

@Rich Cee I was hoping to go through a program that covered closing costs and all that. But if not, that'd probably be another what, 2-3 thousand?

Rich Cee · Answer

@Jonathan  Perez I do not know if closing costs and additional fees may be out of pocket with that program, but some banks require you to have a few months of reserves as well as your down payment. What do you think @James Wise?

Jonathan Perez · Answer

Thank you, James.

James Wise · Answer

When you are 2-3 months out contact a lender & get pre approved. After you know your budget start looking at houses with the agent.