Buying real estate can be confusing. The first time home buyer advice in this blog is meant to help you understand the basics of the home buying process. Houses are a major financial investment and home buyers should become well educated.
Prior to Buying a Home
Find a Reputable Lender
Contact a local loan officer and ask for a pre-approval. Some companies may suggest unique alternatives. Evaluate the programs and fees to identify the best option. Get an estimate of closing costs and monthly expenses. This step should provide an indication of what you can afford to purchase.
Get Assistance from a Real Estate Professional
Find a real estate expert to help with your property purchase. Choose an individual that best suits your personality. Knowledgeable agents can help narrow down options, prepare offers, and facilitate a less stressful purchase. This expertise is particularly critical for first time buyers.
During the Home Buying Process
Viewing Real Estate in Person
Only view properties that fit your price range. This prevents the heartbreak of wanting real estate that you cannot afford. Viewing properties can take significant time and energy, so staying within your range will also minimize wasting of time.
Making an Offer
Real estate agents can offer advice on contracts and negotiating them, but they can not render legal advice. If you would like a legal opinion, consider using a real estate attorney to explain legal jargon and request any necessary edits to them. It is important that you sufficiently understand the conditions and obligations of contracts before signing them.
Inspections are not intended for price re-negotiations as they may not find any issues at all. Also avoid negotiating known problems. Such strategies are not usually successful and may cause you to waste the inspection costs. In situations where defects are uncovered, sellers can agree to repair issues, offer price concessions, or do nothing at all. Keeping a good rapport with sellers can help facilitate any required negotiations.
Walk-Thru Before Closing
Prior to the closing, you should have a chance to walk thru the home one more time to verify it is in the same condition as agreed upon. It is a good idea to make this after the occupants have removed their belongings. If any issues are present at the walk-thru, you may negotiate them prior to completing the closing.
Closing and Settlement
All parties signing any documents must furnish legal identification. Closing costs and down payment funds must be in the form of a certified check or money order. Also bring your checkbook for any final corrections. After the closing, the home is officially yours!
Additional First Time Home Buyer Advice
The property buying process will be less intimidating if you have a basic understanding of the process and a good agent by your side. For more comprehensive first time home buyer advice, Contact Us.