11. September 2014 15:00
Buying your own home is one of the biggest investments that one can make in his lifetime. It is a very exciting and confusing experience and especially if you are planning to buy your first home. The whole experience can often become very stressful and may lead the would-be buyers to lose hope and decide to rent rather than buying. However here are some essential tips that can help first time buyers grab a great deal.
- Plan a budget: It is crucial that you know how much you can spend before you show up at open houses and view the property. Viewing homes that are beyond your budget not only waste your time but also misguide your real estate agent. You must decide a budget and inform your realtor about it so that he can narrow down the search and find an appropriate house that fits your budget. To plan your budget you must do your calculations cautiously. Consider your monthly income and see if you can take out money for taxes, mortgage and home insurance premiums. You should plan your finances in a way that it does not put unnecessary burden on you.
- Create a wish list: Based on your budget you must create a realistic wish list which details where you want to live and what facilities you seek. Research the area where you want to buy the house and make sure that the neighborhood and the area has everything that you need. If you have kids you would require good schools at an easily approachable distance. You would also need good medical facilities, access to public transport and other amenities in proximity of your new house.
- Get pre-approval for a mortgage: Once you like a house you will need money to close the deal. Therefore, it is important that you get pre approval for a mortgage. You can check out the financing options that you can avail and ask lenders, national banks, mortgage brokers, local lenders and possibly a credit union for arranging the money.
- Hire an experienced home inspector: To find out the worth of the house that you visit you will need to hire an expert home inspector who can evaluate the house and inform you about its worth. This will help you save a huge amount of money that might be helpful in the future for upgrading or repairs.
- Understand the liabilities that come with ownership: You must understand that with buying a home come more responsibilities like taxes, homeowner’s association fees and insurance.
By using these guidelines, you can easily buy your dream house and be prepared for the new expenses and responsibilities.