Buying a house is an exciting experience especially for first-time buyers. The idea of finally having your own place and having the liberty of doing anything about it such as renovations makes buying a house a dream come true for most. However, being a homeowner is not that easy. You'll have to consider your responsibility to maintain the house to keep its value for the coming years.
If you have decided that you are indeed ready to buy your own home and become a responsible homeowner, then read these tips for an enjoyable and stress-free house buying.
Find a suitable location
One of the most important things to consider in buying a house is the location. Search for a house that is located strategically. The house should be located in a well-maintained community with nearby schools, hospitals, police stations, fire stations, public libraries, gasoline stations and recreational facilities such as shopping centers and theaters. Ideally, the community should be secure and with peaceful neighbours.
House hunting, indeed, is no walk in the park so be sure that you know your preferences and always consider the concerns of other family members. You can keep track of the houses that you are visiting by taking pictures, writing down descriptions and rating each house.
Determine your budget
Your financial capability is important when buying a house because it involves a large amount of money. The exact amount which you are willing to spend will determine the kind of house that you should look for.
Assess your credit score and be pre-approved
Mortgage, which refers to a loan for the purpose of buying real estate such as a house, is a recommended option for homebuyers. Therefore, it is important to review your credit standing and see if you are qualified to apply for such loan to help finance your dream house.
A good credit score provides plus points for a mortgage application. Search for a lender which will guide you in the pre-approval. Pre-approval for a loan will depend on your current financial status. Getting pre-approved is a positive step to acquiring a mortgage. It also keeps you on track on the price limit of the houses that you should look into. Moreover, a pre-approval record is a good way to convince a house seller that you are sincere in buying that house so you can have a better bargaining power.
Consider a real estate agent
A real estate agent can help you find a home that fits your requirements so make sure that that person is reputable and that he or she meets your standards. Also, make sure that your potential agent understands every detail of your preferences. A real estate agent will also guide you in the negotiation process with a potential house seller.
Negotiate then buy
If you find a house that you like, make an offer to the house seller. Make sure that you are armed with information on the current market value of houses in the area and most importantly know the lowest possible price that the seller is willing to agree on.
Once you have agreed on a price, you will have to go through the process of actually buying the house. This involves getting the expertise of a home inspector, drawing the terms of agreement and having a lawyer review the contract. After all the paperwork is done, a deposit on your part will be placed in escrow until the sale is final.