Get Pre-Approved for a Mortgage
Today’s market moves fast, and a seller (and their agent) won’t take you seriously if you aren’t pre-approved. You also need this information before you can begin looking realistically at homes. Find out what loan products are available to you, and what you can afford. With pre-approval in hand, you are ready to make a serious offer on a home and have a fair opportunity before someone who is more prepared gets there first.
Know What You Can Afford
Once you’ve fallen in love with a home, it’s very hard to go back. But, if you can’t afford the house, you’re just torturing yourself, or setting yourself up to get in over your head. Knowing what you can afford, and disciplining yourself to stick to looking in that range is crucial to your house hunting success. Keep in your financial range when you are shopping for a new home.
Start your search in the lower end of your price range. If you can find what you are looking for there, you’ll be in a stronger financial position after the sale. You may have more money left for updates or new furniture for your new home. Remember, when you pay an extra $10,000, it’s also an extra $10,000 in interest. Homeownership has its own costs like maintenance, repairs, utilities and other monthly expenses. Don’t start out stretched beyond your means.
Do your own research.
The Internet is full of information and resources for home buyers. There are mortgage calculators to help you decide a realistic price-point for you to shop in. You will find neighborhood statistics and information to find the amenities and resources you need. Of course, all the homes for sale you could ever want can be found on various real estate websites and search tools. Start surfing and educate yourself before starting your search.
Location
There are likely specific factors beyond the features of a house that you are looking for. Consider your commutes, convenience to amenities you enjoy, and the importance of schools, emergency services, etc. that you require.
Have a List of Musts, Wants & Deal Breakers
It’s very important to take the time to make your list of home, property and neighborhood features you must have, as well as things you hope are part of your home purchase. Must haves and deal breakers are critical. That may be number of bedrooms to fit all your family, a yard large enough for your three dogs, or proximity to your work. Remember, you might be able to add Wants later. This list will be invaluable to keep you honest with yourself as the excitement and emotions of home buying comes over you. Use this as a checklist when you look at properties.
Be sure you are ready.
House-hunting is a challenging and sometime frustrating process. If you really aren’t going to be ready until your kids are out of the house, or you really need to save a little more money or pay off some debt, then wait. You can keep yourself occupied with plenty of online research and driving around neighborhoods in the meantime.
Shop Around & Be Patient
The home buying process can get frantic and cause buyers to make rash decisions. Be sure you aren’t compromising on your “must haves”. If you’ve been doing your homework and researching neighborhoods and current prices, you will find what you are looking for eventually. If you love a particular area or neighborhood, chances are there are other houses that will compare to one you might lose out on.
Partner with a Realtor
You won’t be in the best bargaining position if you start dealing with a seller's agent before contracting with one of your own. You want someone who is working for your interests only. Realtors also know the local market, and have dealt with all the ins and outs of a real estate transaction. They will make the process much easier for you. Remember, agents are paid commission from the seller, so it costs you nothing to have this expert advice and guidance at your fingertips! Partner with an agent you feel comfortable with, and who listens to you. Also, review their experience and success in the market you are shopping in.
Of course, we hope you will contact us so we can discuss ways we can help you find your new home!