Buying a property takes time and patience and is a many step process. There are many little things you can do when preparing to purchase a home that will simplify your experience.
Secret 1 — Don’t overspend
It is important to watch your expenses 3-6 months before you purchase a home. Don’t make big purchases that may affect your credit profile. Be careful before you open a new credit card, too much dept will lower your chances of getting a loan for your home.
Secret 2 — Time of the year
Most people know that the market is like a roller coaster. There are busier and slower months, and always depend on the year. Don’t time your purchase depending on the market, because you might just miss your chance. The best time to buy, is when you find your perfect house at the perfect price.
Secret 3 — Keep in mind of Sleeper Costs
When buying a home, most people focus only on their mortgage payments. It is important to be aware of all sleeper costs, especially as a new home owner. There are costs like taxes, utility, maintenance, repairs, etc.
Secret 4 — Research the neighborhood
Make sure you know everything there is to know about a potential neighborhood. Meet the neighbors, find out where the nearest amenities are, where your children will be going to school, etc. Driving by every hour will allow you to know the neighborhood activities.
Secret 5 — Get Pre-Approved for a loan
There’s a different between pre-qualifying and pre-approved mortgages. Anyone can pre-qualify for a loan. Being pre-approved means you’ve had all your financial information looked at and have gotten an estimate for how much you could afford and how much they will lend you. It also allows you to shop around and get the best interest rates.
Secret 6 — Bigger isn’t necessarily Better
People always point out the bigger house in the neighborhood. But when it comes to real estate, bigger is not usually better. Larger homes appeal to a very small population. They are more expensive and not everyone can afford them. You are limiting your resale options when buying a big house.
Secret 7 — Let go of the emotions
If you are buying a house based on your emotions, you will have your heart broken. Bad financial decisions are often made when a buyer falls in love with a property. There is a difference between emotions (Obsessing over the look of a room) and instinct (recognizing a good value). Stay calm and be wise!!!
Secret 8 — Inspection
Home inspections are a must!!! It might end up saving you thousands of dollars. The inspector will provide you with information that will help you decide whether or not to buy.