If you’re planning on purchasing your first home in the very near future, educate yourself with these simple first time home buyer tips! These home buying tips will help make your first home purchase a success!
Being a first time home buyer is a big deal. Not only does it mean that you’re ready to settle down and plant some roots, but it also means that you’re mature and ready to make one of the biggest purchases of your life.
First Time Home Buyer Tips that Everyone Needs to Know:
My husband and I just purchased our forever home, and the experience was both exciting, overwhelming, confusing and exhilarating all at once! It’s possible to tap into each and every one of those emotions to make them a positive experience for you if you play your cards right. But before anything, you need to know some first time home buyer tips that are extremely important. Just having recently purchased our forever home, I am here to share with you tips that I learned during the process. I hope you find these tips helpful when you are ready to make your big purchase.
1. Plan on having a down payment saved up before you start searching for your first home
Everyone tends to skip this crucial step. Unless there are different circumstances, many home loans require a minimum of a 10% downpayment for any type of home purchase. If you don’t have it, you need to start saving up! 10% can be a pretty big amount of cash to save as well, so don’t be surprised by the sticker shock! A $300,000 home would need a $30,000 down payment!
2. Shop around with different banks and credit unions for your best mortgage loan options
Not all banks and credit unions offer the same types of terms and interest rates for mortgage loans. Always do your research and call and speak to someone in the lending department to see what type of loan you can get pre-approved for, and what type of interest and monthly payment you can expect. Take your time in searching around to ensure that you’ve contacted the majority of lenders in your area. Getting a great APR is important when securing a home loan!
3. Even though it’s your first home, think long-term
While it may be true that it’s your “first home”, that doesn’t automatically mean that it won’t be your last one either. Don’t buy a home necessarily thinking that you’re only going to live in it a couple of years. Instead, think of your 5 and 10-year plan instead. If you are wanting to start a family at some point in time, consider the school district that your possible home is located in as well as the neighborhood surroundings. What may work for you alone doesn’t mean that it’s a perfect fit for your possible family!
4. Find an agent that works for you
We’ve all heard those lines before, right? “Another offer waiting on the table”, etc…sometimes, those things are true, but other times it’s just the agent being a bit pushy to try to close the sale. Keep in mind that buying a home is a big deal and you deserve to have an agent that works for you and your best interest! Don’t be rushed by anyone else and their agenda because you’ll ultimately have a bad taste in your mouth when you think about your first home buying process.
5. Understand that negotiation is an option
There is always room to negotiate when it comes to purchasing a home. If you don’t feel that the price is fair, you have every right to make an offer with another price. It’s up to the seller to accept or decline, but you won’t know the outcome unless you start the negotiation. Home prices, closing costs, and even household items and furniture are all things that can be negotiated before any closing or sale. We were able to negotiate all of our closing costs to be paid by the seller, so it never hurts to negotiate.
6. Always get a home inspection before purchasing
It may be tempting to skip over the home inspection to save some money, but doing so can actually cost you more money in the long run. Why would you want to make one of the biggest purchases of your life, without doing your research to ensure that everything is in working order? As with anything, it’s important to find a home inspector that is independent of the sellers so that you can get a fair and biased home inspection for your possible purchase. We had a home inspection on the first house we chose, and the home inspector pointed things out to us that raised big concerns. Thankfully, we were still in our due diligence period and was able to back out without any penalties.
7. Shop around for home insurance
Don’t forget one of the most important aspects of buying a new home! Obtaining house insurance to cover anything and everything that may possibly happen! Find an agent or broker and a company that you trust, and get your home insured!
8. Deep clean your new home before moving in
Even if you’re purchasing a brand new home as your first home, clean it from top to bottom. Dust likes to hide everywhere, so do your best to get rid of it all before you move in. If you’re purchasing a home from someone else, it’s always a good idea to clean the carpets as well to get rid of any dirt and grime that may be hiding. Carpet is a great hub for outside germs! What better way to start off your new journey in your new home than with nice, cleaned carpets!
- You may also like to read 5 Helpful Carpet Cleaning Tips Every Busy Mom Needs To Know
When it comes to buying a home, these first time home buyer tips are a must! Don’t sign on the dotted line of home ownership until your read and implemented these tips. Do you have any first time home buyer tips to share?
- You may also like to read Are you Financially Ready To Buy A Home?