The decision to buy your first home can be extremely stressful prompting you into an impulsive purchase that can hurt your financial goals and have you paying the mortgage instalments even in your retirement age.
As a first-time home buyer, you have to be sure of what you are buying. Making any sort of wrong decision while shopping can leave you in a regretful zone for the rest of your life; hence be smart enough to save yourself from such remorse later.
The idea of having your own home is brilliant, provided you consider these four crucial things before making your purchase –
#1: What are your needs?
When it comes to buying a home, you have ample options to choose from. It can be a traditional single-family home, a townhouse, a condo, a co-operative building, etc. All of these options have their own set of unique features and merits.
However, it is vital to have your requirements listed first and then go about evaluating which type of property would be best suited for you. Your preferences can include anything from house size, price, and neighborhood to minutest details like bathroom layout and kitchen appliances.
#2: Do you qualify for a mortgage?
It is commonly observed that the buyers apply for a mortgage when purchasing a home for the first time. However, not all mortgage lenders can provide you the same amount and the rate of interest. You might be interested in purchasing a $500K house, but your lender will decide if you are good enough to buy so depending on your credit score, monthly income and your status at current job role.
Also, your mortgage officer will help you in gauging potential hurdles in applying for a mortgage your house and ensure that you get a good deal.
#3: Have you obtained a home inspection report?
It is always recommended to inspect the safety and overall condition of your potential home. Any home you plan to purchase should reflect quality in terms of aesthetics and materials used to build it.
Usually, the sellers don’t reveal the defects with the property, which is why it is best to have a trained professional to do that for you. A home inspection company inspects the property inside-out and lets you know about the problems (if any). In such a case, you have the right to rescind the offer and claim your money back.
#4: Did you research for a reliable real estate agent?
A real estate agent plays an imperative role in picking the right kind of house and neighborhood for oneself. Since the home buying process is quite complex, having assistance from an experienced agent can be of great help. These agents are knowledgeable about the best areas of the city and can help you to find homes that meet your criteria and are in your price range.
Moreover, they assist you throughout the purchasing process and look after all your paperwork as well.