10 Tips for
First-Time Homebuyers
- Be
picky, but don’t be unrealistic. There is no perfect home.
- Do
your homework before you start looking.
Decide specifically what features you want in a home and which are
most important to you.
- Get
your finances in order. Review
your credit report and be sure you have enough money to cover your down
payment and closing costs.
- Don’t
wait to get a loan. Talk to a
lender and get pre-qualified for a mortgage before you start looking.
Ask your Realtor for Qualified Lender Referrals.
- Don’t
ask too many people for opinions. It
will drive you crazy. Select
one or two people to turn to if you feel you need an outside opinion.
- Decide
when you could move. When is
your lease up? Are you allowed to sublet?
How tight is the rental market in your area?
- Think
long-term. Are you looking for
a starter house with the idea of moving up in a few years or do you hope to
stay in this house longer?
- Don’t
be naïve. Insist on a home
inspection and if possible get a warranty from the seller to cover defects
within one year.
- Don’t
let yourself be house poor. If
you max yourself out to buy the biggest home you can afford, you’ll have
no money left for maintenance or decoration or to save money for other
financial goals.
- Get
help! Consider hiring a Realtor
as a buyer’s representative. Unlike
a listing agent, whose first duty is to the seller, a buyer’s agent is
working only for you. Get that in the form of a contract with the agent.
Buyer’s agents are paid out the seller’s commission payment, normally.