A great sense of pride and accomplishment comes along with buying your first home. Prepare for success by planning ahead. Don’t let a lack of preparation dull the excitement of becoming a home owner. Read these helpful tips for first time home buyers before you begin searching available listings.
Tip 1 – Check Your Credit Report
Make sure that your credit report is free of errors and paints a positive picture of your reliability before you begin the adventure of buying a home. Order free copies of your credit report thanks to The Fair Credit Reporting Act. Order a copy of your credit report from the three major credit reporting agencies. This is important as they may not all have the same information. Home mortgage lenders use information from your credit report to decide if you qualify for a loan.
Tip 2 – Put Money in the Bank
When purchasing a property, it’s normal to secure a home mortgage loan. You pay some expenses out-of-pocket. Typically, a down payment is 20 percent of the selling price of the house. You will be required to pay closing costs, unless you have made an arrangement with the seller. The closing costs are combined fees that are connected to the home buying process. Those fees include inspections, appraisals, title searches, and other service fees.
Tip 3 – Find a Real Estate Agent
You can avoid delays if you are prepared. A professional real estate agent helps walk you through the process of obtaining a house. They will be there to give you valuable guidance as you navigate the process of buying a home. Everything you need to have a successful experience can be found in the knowledge and experience of your real estate agent. The right real estate agent will keep an open line of communication, be attentive to your concerns, and will strongly negotiate for you. Buying a house is a big investment, and you should take the time to find the right real estate professional to help you through the process.
Tip 4 – Get Pre-Approved
In order to know how much home you can afford, take the time to visit the lender of your choice ahead of time. Know the price range you can afford to avoid feelings of disappointment. You don’t want to end up frustrated because you found your dream home only to find that the cost is higher than your target range. In a multiple offer situation, a pre-approval could turn things in your favor. Show the seller you are serious about buying a home by having a pre-approval letter on hand.
Tip 5 – Make a Wish List
Make a list of all the must haves before you start your journey through neighborhoods looking for your perfect home. Take into consideration how close the home is to your job, the quality of schools in the area, and the amenities the community offers. Take note of how many bedrooms and bathrooms you need to be comfortable in your new home. You should highlight the things on your list that you just can’t live without. This will help keep you focused on the things you need in a home, versus just what looks good. Make sure that you give a copy of this list to your real estate agent, as it will enable them to find the perfect houses for you to tour.
Tip 6 – Be Patient
Bumps along the way make for frustrating times. You will be able to remain calm and at ease knowing that your real estate agent will be working diligently on your behalf. Your real estate agent keeps you informed throughout the process. Multiple offers or an inspection can sometimes delay buying a home. It’s important that you don’t let these things upset you. Your real estate agent will be there for every step to help you know the best way to handle any situation you may encounter.
Your real estate agent is the best source of information about the local community and real estate topics. Give the Barnes Team a call today at 818-239-1275 to learn more about local areas, discuss selling a house, or tour available homes for sale.