Looking to buy a first time home can be both an exciting and stressful time. A house is an expensive investment and is not something you should jump into without the proper due diligence. Regardless of whether you’re single or you have a family, there are a number of critical factors you need to look into and plan for accordingly.
All the work and research required can seem a little daunting at first, but as long as you take your time and begin searching early, you should be able to handle any issues that come up in stride. It’s also not a bad idea to look into real estate agencies like the Unitech Group to provide you with information and help answer questions as you move through the process. With that in mind, below are some tips of things to look for as a first time home buyer.
Location and Type of Property
Picking a location and the type of property you want to buy isn’t necessarily the first thing you should do, but will largely depend on your situation. If you’re single, buying a house may be a little much for your needs, so looking at condos or apartments could potentially work out better for you. If you have a family, however, a house is likely going to be the better choice. With that said, it goes without saying that it largely depends on what your needs are and your particular situation.
When picking a location to buy you need to consider the distance from all the services and stores you and your family are likely to need and use. The proximity to grocery stores, your place of work and schools are all very important aspects when deciding whether a particular house is worth it. Additionally, you’ll want to make sure the surrounding area is pleasant, relatively safe, and conducive to how you wish to raise your children. Only you fully know what you would like in the area around your home, so you should take all those qualities into account when looking for a house.
The Paperwork Never Ends
Buying a new home requires a lot of paperwork, which you’ll find as you move on is a major understatement. You’ll need to get your hands on a lot of different documents, both about your finances and from the current owner of the house. These documents are important for multiple reasons. Picking a bank and getting the home loan you are likely to need to help buy your house is one need for all the financial documents.
Speaking of banks, finding one to give you a mortgage is incredibly important. But before you start looking for a bank to give you a mortgage, you will need to have a budget prepared (if you haven’t already done so). When searching for a bank, don’t just use the first one to give you a loan offer. Spend some time shopping around so you can find the one that gives you not only the best rate but one that will not just encourage you to spend as much as you can.
Negotiation and Home Inspection
Once you’ve found a loan provider and found a house in a location you like, you’re pretty much ready to contact the seller and enter negotiations about the purchase. This is when the fun negotiation process comes into play as you’ll want to make sure to get a fair price without them brushing you off for low-balling them. Don’t be afraid to offer something lower than the asking price, just be wise about it.
An absolute necessity before finalizing any deal is to get a full home inspection done. You don’t want to buy the house, move in and find out there’s rot in the walls or other serious repairs needed. The cost will vary, we spent several hundred dollars ourselves, but is well worth the cost knowing what you’ll be walking into once you sign the dotted line on the mortgage.
Photo courtesy of: Tom Caswell
Latest posts by John Schmoll (see all)
- How to Budget for Your First Car - April 26, 2017
- 4 Digital Savings Tools to Save Money When Shopping Online - April 19, 2017
- 3 Reasons a Cash Budget May Save You More Money - April 12, 2017