Tips For First Time Home Buyers
Purchasing a home for the first time is no walk in the park, especially with the many houses available in the housing market plus the amount of work that goes into the process. As with any significant investment, buying a house is not something to take lightly, as making the wrong choice can result in buyer’s remorse. If it is your first time making such an investment, you’ll want to keep the following first-time home buyer’s tips.
Long Term Goals
First and foremost, it’s advisable to determine your goals and how owning property will fit into those goals. Perhaps you are tired of renting and would rather spend money on something that could potentially turn a profit in the long haul. Maybe you want to have your own home or become the landlord for a change. Regardless of your goals, it’s important to have a clear idea about them before you proceed.
Finding the House You Want
Once you’ve decided to become a homeowner, expect the process to be chaotic for a while. Chances are you will make numerous offers and similar counteroffers in return. However, avoid succumbing to frustration or intimidation. A professional can be of great help through every stage and can be a great stress reliever.
You will likely have a wide array of options in regards to financing, even if your credit report isn’t the best. You might be able to get a loan backed by the government or financing that does not require a 20% down payment. Additionally, the region you live in might have special incentives for first-time homebuyers. A professional realtor or real estate agent can give you easy to comprehend information on all options so that you can be confident during the search.
Making an Offer
Once you’ve come across a house you like and can afford, your agent can help you decide how much money you should offer and any conditions that should be met before signing any documents. For instance, you could ask the house seller to handle the closing costs. Your real estate agent will then take the offer to the home seller’s agent, who will either accept, reject or make a counteroffer. This is a stage that goes back and forth until both parties come to a fair agreement or you decide to look at other options.
When you come to an agreement with the seller, expect to be asked for a good faith deposit. After this, the transaction will move into escrow, which usually lasts for 30 days. In this stage, the seller takes the house of the market in hopes that you will purchase the home, unless the inspection report reveals some serious issues.
Real estate agents can help you find a home in the neighborhood you like at a price that matches your budget. Once you have made your decision, they can assist you through the whole buying process. That is from making the offer to securing a loan and wading through the hectic paperwork. An agent can offer invaluable help through a trying time.