5 things first time home buyers should do
Buying real estate can be intimidating for some and many questions may come to mind like, how do I know when it’s the right time to buy? How do I get pre-approved from a lender? Who can I trust to help me with the process? The list of questions can go on. We created a small list for first time home buyers to be used as a guide.
1. Create a Budget
This should be the 1st thing you do before moving forward. Create a solid plan and figure out what you can spend before you start browsing, it’s critical that you draw up questions such as, what is the most you can afford? What is your price range? We recommend using a mortgage calculator to help you get started. Determine the maximum monthly payment you can afford based on the price of the home after a down payment, and over a 30-year-mortgage. It’s important to note that you should include maintenance costs when searching. If it becomes too high just continue with your research.
2. Think of you and your family (Lifestyle)
This may sound like a big duh but you would be surprised how many people forget to think about the lifestyle they wish to live when searching for a home. What features will hinder your well being and what would enhance it? Think of things like, having garden to nurture, a big backyard for the kids, A neighborhood with a popping nightlife etc. Explore the market, go to open houses even those that may be out of your budget. This will help you get a better understanding of the different features/lifestyle a home/neighborhood can offer, which will help you reevaluate your list.
3. Find a great realtor
And you can always count on us here at Agent Prolific. We have a team of well educated and experienced realtors. A great realtor can make or break the home buying experience and no one wants to go through a long and painful home buying experience. We have contacts with lenders, remodelers , inspectors; hey you name it we got it. The most important attribute when choosing a real estate agent is his ability to listen to your needs which goes back to number 2 of the list. Its very important you come prepared to your agent that way he or she can knows exactly what to consider when researching properties.
4. Closing Costs
Closing costs, which don’t include your personal moving costs, can vary widely. Typical closing costs include the hiring of a real-estate attorney to look over your buyer-seller agreement and a home appraiser to evaluate the home before the sale. All of these costs usually come from the buyer.
5. Educate yourself on the process
The old advice about buying your first home is still true, these examples include – Save for a down payment of 20 percent, get your credit into a better shape and don’t buy more than you can afford. Make sure to have an emergency fund. Here are some good articles to check out to refresh your memory: Roadmap for a Successful Relocation, Should You Buy a Home Now?, 11 Tips for First-Time Homebuyers, Renting vs. Buying: The Realities of Home-Ownership, Pay Off Mortgage Early or Invest?