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6 Home Buyer Tips : What to know before you sign on the dotted line
You’ve saved up the down payment and now you’re ready to buy your first home.
Unfortunately, buying a home isn’t all fun and games - it’s a complicated process that could catch the first time home buyer unawares, especially when things come up that you are not expecting. Just remember, no matter how frustrating it gets things will work out in the end.
Here’s some tips that will help guide the first time home buyer through the process:
Be Aware Of Your Finances
Getting all your ducks in a row when it comes to your finances will go a long way in helping to get that mortgage, especially for the first time home buyer. First of all , you want to make sure you have enough for a down payment and are making enough to afford the home of your dreams. Next, get a copy of your credit report and clear up any discrepancies before your mortgage broker sees the report. Start saving your pay stubs and bank statements - your mortgage broker will want all of these. Finally, get pre-approved so you know what price range to look in.
Do Your Research
Decide on what type of house you want before you start looking. Do you want a ranch or a cape? Is a pool OK? How much land? Also, think about the general area you want to live in. It’s a good idea to have some questions ready when you go to look at houses. These might include:
How safe is the neighborhood?
Will the house grow with your family?
Is the school system good?
What about your commute?
How is the resale value in the area?
Is there shopping nearby? Public transportation?
Does the house need any repairs?
Getting A Good Real Estate Agent
Having a good real estate agent is key to finding a home without wasting a lot of your time. A good agent will be familiar with the real estate in the area and be able to direct you to sections where you are most likely to find what you are looking for. They also won’t waste your time by dragging you out to look at houses that do not suit your criteria. You should build a relationship with your agent and let them know what you want right from the start. If you can, sign them on as a “buyers agent” (it doesn’t cost you anything) so that you know they are working for your interest as well as the sellers.
Making The Offer
This can be nerve wracking - you really want the house but you don’t want to overpay. Depending on the state of the market at the time, you may need to make a very attractive offer in order to get yours accepted above all others. If the market is slow, you may be able to negotiate a bit on price. Don’t forget to write in everything that you want included in the deal such as window treatments and appliances etc…
Home Inspection
It’s important for potential home buyers to have an inspection done on the home. This will bring to light anything that is wrong with the house and repairs that might be needed. Once you know about this you can either back out of the deal or renegotiate depending on the scope of the repairs that are needed.
Closing the Deal
Closing (also referred to as settlement) is when the property is transferred to you (the buyer). Everything is now in your name and the property (and associated payments) are all yours. Congratulations!
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