Buying a home for the first time can be challenging. It’s tempting to either just go with the first house that falls in your price range or continue to rent. To help you get the most out of your buying experience, we’ve made a list of some tips you’ll need to consider before you buy.
What to Think About Before Purchasing
The first thing you’ll need to determine is what your long-term goals are and how home ownership fits in with those plans. Are you simply looking to transform all those “wasted” rent payments into a mortgage payment? Or, are you buying because you see home ownership as a sign of independence and enjoy the idea of being your own landlord? Narrowing down the reasons as to why you’d like to buy will help guide you in the right direction. Here are some questions you can ask yourself.
What type of home will best suite your needs?
What specific features will your ideal home have?
How much of a mortgage do you qualify for?
How much home can you actually afford?
Who will help you find a home and guide you through the purchase?
First things first you need to determine what type of home will best suite you. You have several options when purchasing a residential property: a traditional single-family home, a townhouse, or a condo. You will also need to determine what features you are looking for. While it’s good to remain flexible, you are making perhaps the biggest purchase of your life, and you deserve to have that purchase fit your wants and needs as close as possible. Your features should include basic desires, like neighborhood and size, number of bedrooms, and square footage.
Next step would be to contact a mortgage company and see how much of mortgage you can take on and how much you can actually afford. Before you start shopping, it’s important to get an idea of how much a lender is willing to give you to purchase your first home. Lenders take many things into consideration when approving you for a home loan such as: how long you’ve been at your current job, credit score, and your existing debt. On the other hand, sometimes a mortgage company will give you a loan for more house than you really want to pay for. Just like when you buy a car, consider the total cost, not just the monthly payment. Of course, looking at the monthly payment is also important, along with how much of a down payment you can afford, how high the property taxes are and how much your insurance will cost. To help determine what your payment could be take a look at our handy mortgage calculator by clicking here.
Now that you’ve determined your needs and what you can qualify for, your next step is choosing a real estate agent that will help you locate the home of your dreams. Once you’ve chosen a home to buy, your real estate professional can assist you in negotiating the entire purchase, including making an offer, getting a loan, and completing all the necessary documents. Finding a real estate agent can make your buying experience a good experience! We here at Coldwell Banker Charles Hayes Real Estate want to prove to you how easy home ownership can be. We are knowledgeable, experienced, and professional. Let one of our helpful agents help you today!