For many years now you have been saving and scrimping so you can sacrifice towards your savings for your first house. The day finally arrives and you are ready to get out in pursuit of your dream home.
Now that the day is here, you realize that the process of buying a home is not as easy as it looks or sounds, the process is quite overwhelming especially if you are a first time buyer.
But what to do really and you desperately need a place you can finally call your own? First and foremost, you shouldn’t fret or panic as you can make a very costly mistake in such a situation.
Equally, you shouldn’t go out and place a down payment on the first offer that comes your way. A home is a huge investment hence needs careful planning.
- The first thing that you need to know is that unless you know about your financial status, the process can be a tough one on you. Thus, the first thing you need to do is to ensure your credit is sorted first. While you could be having the down payment ready, you need to secure financing because the last thing you would want is to waste time searching for your dream home only to have your mortgage application turned down.
- Still on point, get pre-approved for your mortgage. When you are pre-approved prior to ‘window’ shopping for a home, you will go ahead worry-free as you will know in advance what you can afford. Another plus of getting your mortgage pre-approved before starting your search is that homeowners and realtors will know you are a serious buyer.
- Ensure an inspection is done on the property. Today, most people looking to buy new homes include a subject on the purchase contact that the property has to pass inspection. This is a very important step also on your side because the house could be having very many wrong things that even the home owner isn’t aware of. If you find any feature that is wrong, you can use it as a bargaining point for a lower price or if the problem is very severe, it could be your justification of walking away and searching for another home.
- Buying a home is more or less like searching for a rental property only that this time round it has a huge payoff. You need to be very choosy, remember you are going to spend the better part of your life in that house. If you are therefore not sure of what you want in a home, it is always good to consult with friends who own homes or even realtors so you can know what to expect. Start to factor your needs for a home, which location you want it to be, how many rooms you want it to have, what amenities are you looking into etc. one of the easiest way that you can keep track of what you want in a home is creating a list.