B
uying a home for the first time can be a daunting, nerve-wracking experience, especially if you don’t have the proper resources. You should begin as soon as you can, probably about a year ahead. If you are purchasing your first home and are not familiar with the process, continue reading to see what you should expect when buying your first home.
Look at Your Cash Flow
The first piece of advice would be not to stretch when buying your first home. Only buy a house you know you can afford. You want to put down as much money as possible for your down-payment so you don’t have to apply for a loan plus interest you almost cannot afford.
First thing is to get pre-approved with a reputable mortgage broker. You want one who has your best interests at heart, not someone who is looking for only to make their commission. Ask friends and neighbors for references. The mortgage broker will assist you in steps so you can become a better risk for the banks, it’s not all just about a good credit score.
What Kind of Home Do You Want?
Narrow down the type of dwelling you would like. A single-family home, with or without a garage, or perhaps a condo or townhouse. Condos and townhouses have monthly fees, but this usually includes that they take off the landscaping costs and any repairs to the exterior of the units. If you choose to buy a condo or townhouse, make sure you read their regulations ahead of time, so you’ll know what is and isn’t allowed, which also extends to pets as some associations don’t allow certain animals.
Research the Community
Once you’ve narrowed down the type of dwelling, then you’ll have to put some research into the town you’d like to live in. If you’re not sure, perhaps you’d like to buy in an area for a year. This will help to get a better feel for the community, the commute time for work, and nearby schools.
Picking the Best Agent
Once you’ve come to a decision on these main points, and have your pre-approval letter in hand, it’s time to go attend open houses. While you’re doing that, you can get a better feel for the type of real estate agent you’d like to have represent you. Always find someone that is very good at negotiating, honest and is upfront with you. You will sign an exclusive buyer agent agreement with them, which means they are working in your best interest, not the sellers. The rest is easy, finding the right home in the right neighborhood for the right price. Your agent should be knowledgeable about this and give you great advice.
Get a Home Inspection
Before you buy your new home, it is important to have a professional come out to inspect the entirety of the property. If there are any problems found early on it can help to decide if you want the home (depending on the cost of maintenance). If you still love the property given the discovered flaws, you can negotiate for a lower price.
The house hunting journey can be exciting, thrilling, and nerve-racking. Don’t forget, when you have found your new dream house you want to make sure you have it protected. At TJ Woods, we offer the most reliable homeowners insurance to make sure your home, personal possessions, and residents are protected from any type of hazard. Contact us today!
