×

Warning

JUser: :_load: Unable to load user with ID: 725563

Planning to Buy Your First-Time Home? Use These Tips

Written by Posted On Monday, 29 February 2016 15:07

There are plenty of articles full of useful tips for first-time home buyers. I am not going to repeat them. Instead, I will list the lessons I personally learned that I didn't find covered anywhere else.

1. Make a list of items to check

Home-buying is an emotional process. Ideally, you should set aside all your emotions when evaluating a house. Practically, that is impossible. Instead, make a checklist of your must-haves, nice-to-haves and other essentials. Then print copies of this checklist.

Every time you visit a house, take the checklist along with you; take photographs so you can cross each item off your list. If you fall in love with the house and your checklist shows that the house has none of your must-haves, it will at least make you pause and think.

2. Look at ALL the expenses when you are budgeting for the house

When budgeting for the house, don't stop with principal, interest, taxes and insurance; add in utilities, cost of commuting and upgrades. Call the utility companies that service the house you are considering and ask for an estimate of what the cost will be, whether there are any budget plans available, etc.

Will the gas budget for your car go up if you are moving further away from the places you frequently visit? Budget all of these expenses and see if you can still afford the house.

3. Think long-term and think re-sale

Are you planning to have kids? Will you be taking care of elderly relatives? You might be planning to live in your first home for only a few years.

In that case, who is your target audience when it comes time to sell the house? While you may join Homesmart or some other agency platforms which makes selling easier, truth is If you buy a house in a very bad school district or a house on a very busy street, when you are ready to sell the house, most families with children will be out of your list of potential buyers.

4. Be sure to read your contract before you sign it

A house is probably the largest purchase you will ever make in your life, so make sure you understand the terms of your contract. If you don't understand any of the terms, ask your mortgage broker and your real estate agent. If they won't explain the terms clearly to you, fire them; there are enough people who will be more than happy to help you and work for your business.

5. Learn about the neighborhood demographics

Your neighbors have enormous influence on you than you may realize. If you are buying a house in a neighborhood full of renters, it only takes a few bad renters or bad landlords to drive the neighborhood down fast. If the neighborhood is full of single people, will you be happy there if you have very young kids?

Rate this item
(0 votes)

Martina Angel is a writer and real estate agent. She is especially interested in the purchase, ownership, management, rental and sale of real estate for profit. She also volunteers for local water conservation charities in her free time.

Agent Resource

Limited time offer - 50% off - click here

Realty Times

From buying and selling advice for consumers to money-making tips for Agents, our content, updated daily, has made Realty Times® a must-read, and see, for anyone involved in Real Estate.