27Jul 09
10 Tips for First Time Home Buyers
- Be picky, but don’t be unrealistic. There is no perfect.
- Do your homework before you start looking. Decide specifically what features you ant in a home and which are most important to you. The “must haves” versus the “wants”.
- Get your finances in order. Review your credit report and be sure you have enough money to cover your downpayment and your closings costs.
- Don’t wait to get a loan. Talk to a lender and get prequalified for a mortgage before you start looking.
- Don’t ask too many people for opinions. It will drive you crazy. Select one or two people to turn to if you feel you need a second opinion.
- Decide when you could move. When is your lease up? Are you allowed to sublet How tight is the rental market in your area?
- Think long-term. Are you looking for a starter house with the idea of moving up in a few yeasr or do you hope to stay in this home longer? This decision may dictate what type of home you’ll buy as well as the type of mortgage terms that suit you best.
- Don’t let yourself be “house poor”. If you max yourself out to buy the biggest home you can afford, you’ll have no money left for maintenance or decoration or to save money for other financial goals. Also, don’t forget to include the cost of utilities.
- Don’t be naive. Insist on a home inspection and, if possible, get a warranty from the seller to cover defects within one year.
- Get professional help. Do you know that when you hire a Realtor as a buyer’s representative it’s FREE!! Unlike a listing agent, whose first duty is to the seller, a buyer’s agent is working only for YOU! And often, buyer’s agent are paid out of the seller’s commission payment that they have already agreed to with the listing agent.
