New Home Buying Tips
Get the best home for the money
- Do your homework.
There are no shortcuts in buying a home. Think of it as taking a walk across a swamp on the backs of alligators. No matter where you step, you could make a costly mistake or lose a foot. From financing to home selection, there are 1001 things you can get wrong. But if you prepare well, you can save big.
- Make a wish list.
Write down everything you want in your next home. Once you´ve defined what you want, break your list into two categories: necessary and nice. Necessary items are things you can´t live without. Nice things are amenities you´ve always wanted. Only you know the difference. However, articulating what you need and what you want enables you to make a rational decision. The more detailed the list, the closer you´ll be to getting the "perfect" house.
- Set Your Budget.
Many calculators can provide a ballpark idea of the upper limits of what you can afford to spend on a house. Generally, spend only as much as you are able without compromising your ability to save for retirement or your kids´ education. The single largest mistake is to buy a home that is going to tax you financially. Get as much money together as you can for the largest down payment possible.
- Research resources.
Many cities, have organizations that are dedicated to helping homeowners, especially first-time buyers, purchase homes. Some offer informational workshops that cover the full spectrum home-buying topics. Others have programs to assist low-income buyers who may meet the income requirements, but have no money for down payments and closing costs. Often articles and event announcements are published in the business or housing section of the newspaper.
- Choose a real estate agent.
Too often, home buyers don´t intentionally select a real estate agent. Instead, they call an agent listed on a sign who is already representing the seller. While most agents are ethical professionals and this doesn´t necessarily pose a problem, by engaging your own representative you ensure that your interests are put ahead of the seller. In addition, your real estate agent can tell you about neighborhoods, crime rates, or planned municipal changes. They know the market and can help you locate the right house in the right area in your price range. Your agent is your first and usually best contact for answering all the questions that come up during the home purchase process.
For real estate information, contact Hearth Real Estate