Things you should know about mortgages as a first-time homebuyer

by THE CUOMO TEAM Kimberly Cuomo 03/03/2025

What to know about mortgages as a first-time homebuyer  featured image

If you’re a first-time homebuyer, you may find yourself in need of a mortgage loan. Over 60 percent of homeowners have a mortgage, so becoming familiar with the loan process can be beneficial to your homebuying journey. 


What is a mortgage? 

A mortgage is a legal agreement between a borrower and a lender where the borrower, once approved for a set amount, pays back the lender over a specified term.  

Most mortgage loan terms range from 10 to 30 years, with the 30-year term being the most popular as it often comes with lower monthly payments. However, it’s good to note, the longer you take to pay off the loan, the more money you’ll pay in interest over the lifespan of the loan. 


Get ready for preapproval 

Getting preapproved for a mortgage loan is a great first step, as it allows you to see if you qualify. It also can give you a good idea of the financing you’ll have to work with to purchase a home. During the preapproval process, your lender will collect your financial information to see if you meet their borrowing requirements.  

You’ll most likely will need to provide W-2s, tax return info, your credit score and a few other items for preapproval verification. 


What is a mortgage composed of? 

A mortgage loan is made up of 4 primary components that include the principal, tax, insurance and interest. 

The principal amount is the amount of funds still left to pay off the loan, whereas interest is the fee your lender charges for taking out their loan. 

Your mortgage provider may also collect property taxes on your behalf through your monthly mortgage payment to be used annually. If you put down less than 20 percent on your home’s down payment, your loan provider may require you to pay for mortgage insurance to protect them if you default on the loan. 

Owning a home and paying for a mortgage is a significant commitment, so consider speaking with a lending officer. They can help you explore your options, get a better understanding of the process and find the right loan for your next home purchase.


About the Author
Author

THE CUOMO TEAM Kimberly Cuomo

The Cuomo Team - 25 years experience serving South Florida's Real Estate needs!

Specializing in Residential and Commercial Real Estate Services - 

 Kim Cuomo brings a 25 year wealth of experience and passion to the world of real estate, having dedicated over two decades to serving clients across the vibrant landscapes of South Florida. With a background as a paralegal, Kim's transition into real estate was not just a career change, but a discovery of her true calling. Her deep-rooted love for the industry is evident in the personalized, hands-on approach she adopts with each client, ensuring they feel valued and supported through every step of their journey.

Whether navigating the complexities of a first-time home purchase or orchestrating the sale of a luxurious $30 million estate, Kim's expertise spans the full spectrum of residential and commercial real estate. Her reach extends across Palm Beach County, Martin County, St. Lucie County, Broward County, and Miami-Dade County, offering a comprehensive understanding of the unique markets within each area.

Kim Cuomo's dedication to excellence and her ability to forge meaningful connections with clients make her not just an agent, but a trusted advisor and friend in one of the most significant transactions of their lives. Her commitment to providing exceptional service is unwavering, making her a standout professional in the South Florida real estate scene. 

The Cuomo Team has several agents, so that someone is always available to assist you with any of your real estate needs any time 7 days a week! Kim's husband, John, a retired firefighter from the Town of Palm Beach, works in the Commercial Division. Kim's son Matthew Cuomo works on the team, along with her daughter in law, Tasianna Cuomo. and Christine Cuomo Georgeou, her sister in law. 

You can contact Kim directly anytime at 561-339-3002, and she will be happy to assist you with any of your real estate needs! She looks forward to hearing from you!