Buying a home may be the American dream. But with escalating home prices, rising interest rates, low inventory, and inflation, as a first-time buyer, you may be wondering if that dream is out of reach.

Many new homeowners rely on first-time homebuyer (FTHB) programs like low down payment and closing cost assistance to help get in the door. While these are great resources to tap into,  it's helpful to keep in mind that many of these programs apply to homes in a specific price range. For example, in Michigan, down payment assistance is available to homes priced at $224,500 or less, even though those homes are getting harder to find. In fact, the Federal Housing Finance Agency says US house prices have gone up 17.5% over the last year, and according to Zillow.com, there are currently 481 “million-dollar cities” in the US where the typical home value is at least $1 million.

So, what’s the average consumer with a household income of $120,000 or less supposed to do? We asked Steve Cartwright, one of our experienced loan officers at Amerifirst, for tips on how to get yourself in the best shape possible so that you too can start living the dream. Here are his 6 tips: 

 Appraisal Gap Guarantee Example:

 Buyer offers: $250,000

Home appraises: $240,000

Gap: $10,000  (buyer pays this amount to make up the difference)

Read our blog: 10 ways to get your offer accepted in a tight housing market

It's still a challenging time for new buyers, but there are steps you can take to improve your chances. Start with these tips from Steve and make an appointment with your local Amerifirst loan officer. It’s never too early to start learning and preparing to become a homeowner.