10 Home Buying Tips – Information for First Time home buyers.
- Find a real estate professional who is the right fit for you.
Home buying is not only a big financial commitment, but also an emotional one. It’s critical that the Realtor® you choose is both skilled and a good fit with your personality.
- Timing the market.
There is no “right” time to buy anymore than there is a right time to sell. If you find a home now, don’t try to second-guess the interest rates or the housing market by waiting. Changes don’t usually occur fast enough to make that much difference in price and a good home won’t stay on the market long.
- The most important opinion is your own.
It’s natural to want reassurance for such a big decision, but too many ideas will make it much harder to make a decision. Don’t ask for too many opinions and trust your own instincts.
- The Big Picture.
Accept that no house is ever going to be perfect. Pay attention to the things that are most important to you and let the minor things go. Make the decision based on whether you would be happy in the home.
- Keep negotiations realistic.
Negotiation is definitely a part of the real estate process, but trying to “win” by getting an extra-low price may lose you the home you love and although the difference may sound like a lot, it may be an insignificant difference over the life of a 30 year mortgage.
- Remember your home doesn’t exist in a vacuum.
Don’t get so caught up in the physical aspects of the house: room size, kitchen, floors, etc. that you forget such issues as amenities, noise level, neighborhood, etc. that have a big impact on what it’s like to live in your new home.
- Get pre-qualified or pre-approved.
Don’t wait until you’ve found a home and made an offer to get approved for a mortgage. Not only is getting pre-qualified quick and easy, but there is no obligation. Finding out how much you can afford, whether your credit could use some repairing, and what your monthly payments might be, is a significant step toward buying a house and making the process less stressful.
- Factor in maintenance and repair costs in your post home-buying budget. Even if you buy a new home, there will be some costs. Don’t leave yourself short and let your home deteriorate.
- Accept that a little buyer’s remorse is inevitable and will probably pass.
Buying a home, especially for the first time, is a big commitment, but it also yields big benefits. It is common
to question your decision but in the long run, home ownership is usually a fantastic opportunity.
- Choose a home first because you love it; then think about appreciation.
A home’s most important role is as a comfortable, safe place to live. With the increases in value in the
early 2000’s, people have begun to think of their home strictly as a way to make money. Make sure your home is something that you’ll enjoy living in for a long time.
See our other articles for first time homebuyers:
- Where to search and how to find current listings
- The home search. Choosing your home
- The home search. Finding out how much you can afford
- The pre-qualification process
- Why it’s important to get preapproved
- Why Buy a home instead of renting
- How to Look for Foreclosures?
- Mortgage musts
- Considering a move? Steps to take
- Homebuyer tips
- Check Your Credit
- 4 tips for home buyers in a buyer’s market (older article)
- Who pays for what in escrow
- Closing cost definitions
- Home appraisals
- What is title insurance
- Understanding closing costs
- Common ways of taking title when buying a home (i.e. joint tennants, community property)
- What is the Statement of Information form from the title company?
- What Happens After Funding?
Lender and Loan
- Understanding the loan process
- Benefits of FHA Loans
- The difference between getting pre-qualified and pre-approved
- Down payments
- What does your mortgage pay for: PITI
- The loan process
- Homeowners Insurance
- What happens in escrow after a loan funds?
- Pre-Qualified v. Pre-Approved
- Understanding the Loan Process
- Benefits of Getting Prequalified
- Historical Interest Rates
- Credit Rules
- Lender and Loan Process
- What goes into your monthly mortgage payment? Understanding PITI
- Loan Terms and Glossary
- Types of Home Loans
- Avoid Predatory Lenders – Warning Signs
- What is Private Mortgage Insurance (PMI)?
- Using a 401(K) to Purchase a Home
- What happens after a loan funds?