The home buying process can be overwhelming when you’re a first-time buyer but taking the time to do your research beforehand can help you feel better prepared for the entire experience. Buying a home is likely one of the biggest purchases that you’ll make in your lifetime, which is why it’s important to do your homework. Knowing how much you can afford, what you’ll be putting down as a down payment, and the steps involved with buying a home are all extremely important when it comes to buying your first home.
We’ve put together a list of some of the top things you need to know as a first-time home buyer to help you get started on your home-buying journey!
Get Pre-Approved First
Before you even start looking at homes, it’s important to first determine exactly what you can afford. Not only will this help you understand your current financial situation, but it will help keep you from falling in love with potential homes that are outside of your price range. The costs associated with home ownership don’t just include a mortgage. Things like utilities, home insurance, and taxes also need to be factored into the equation. Once you’ve determined how much you can afford, you’ll want to get pre-approved. Not only does it keep you from shopping outside of your budget, but it also helps show sellers that you’re a serious buyer who has their financials in order.
Decide What Type of Home Is Best for You
Once you’ve established exactly how much you can afford and have been pre-approved, it’s time to start thinking about the kind of home you’re looking for. There are several factors to consider when looking for your perfect home, including your lifestyle and finances. In some markets, first-time home buyers might be looking at condos or a townhome as their first home, while others might be looking for a single-family home. Having an idea of the kind of home you’re looking for can help you narrow down your search when it comes to looking at properties currently on the market.
Find A Real Estate Agent
Finding a real estate agent is crucial in the home-buying process, especially for first-time buyers. Not only are they going to be able to provide you with essential knowledge about the current housing market, but they will also be able to educate you on the entire process and will help guide you every step of the way. Asking friends and family is a great way to get recommendations for agents and taking the time to interview a few different agents will help ensure that you find the one that’s right for you.
Find A Home
Once you’ve found your agent, it’s time to start searching for your first home! It’s important to keep an open mind during this process, as it can be easy to get caught up in little things that might distract you from a home’s potential. Cosmetic changes such as wall colour or flooring can make a huge impact in a space that might be in need of some TLC and might be all a home needs to be refreshed. Remember to keep your lifestyle and location in mind when choosing the right home. You might fall in love with a place, only to find that you’ll have a long commute to work or not have enough outdoor space.
Make An Offer
After finding the perfect home for you, it’s time to make an offer! This is where you can rely on the guidance of your real estate agent, as they will be able to help you decide on a competitive offer for the home and can help with negotiations. This is also the time to have the home inspected. While it might look flawless to you, it’s always important to have an expert in to make sure that there aren’t any underlying issues that could pop up down the road and add extra strain to your bank accounts. In some cases, you might be able to factor certain home upgrades into your offer which can help save you money in the end.
Once your offer has been accepted, you’re officially home buyers! Now you can begin to prepare to move into your new home and settle into your new space.