Almost everyone has a goal of eventually buying their very own house. Being able to actually do it is an exciting time. What’s difficult is to contain that excitement long enough to make a wise decisions about your home purchase. To help keep emotions in check, we have put together a list of home buying tips to guide you.
Being financially ready to buy a house is the biggest obstacle to your goal. The important thing is to save enough to cover everything. You should try to pay a down payment of approximately 5%-20% of the home’s total value. Next, you need to have enough to pay for closing costs out of pocket. Finally, you have to budget for monthly housing costs. Don’t forget to incorporate tax and insurance into your budget. If one or all of these things give you pause, keep saving before you buy a house.
After you have the money, you need to talk to your bank about getting pre-approved for a loan. Shopping for a good loan if you are a first time buyer can be as challenging as shopping for the home itself. Get this step out of the way before you begin looking so you know exactly the price range you are looking for.
Real Estate Agent
Next, you need to find a real estate agent. Some people think they can do it alone, but that is risky, especially for your first home. Real estate agents know all the deals and properties in the area and can find one that fits your specifications and budget. They also know what to look for in a home and warning signs that a home may be a money pit. Find a real estate agent you like and get along with to help you find your perfect home.
Once you start looking at houses, the first place you want to look is the basement. Basements hold a lot of the home’s dirty little secrets from water damage to foundation problems. If you notice any cracks in the floors or walls, this could mean serious structural damage. Check the HVAC and water heating systems. Are they really old or rusty? If they look as though they may need to be replaced soon, you need to factor this cost into your budget. Open and close all the windows to make sure they work and check for possible water damage throughout the house. Visit the home after a rainy or snowy day to see if you can find any leaks or weaknesses that will cause you problems later.
Even after you have checked everything and make sure it looks good, hire an expert to perform an inspection. A good inspector will help you understand how much you may need to invest in maintenance of the home. He or she is your greatest line of defense against an accidental money pit purchase.??Buying a home is an exciting time, but is also a lot of work. Don’t cut corners and enjoy your nugget once the perfect home is purchased.