Advice for First Time Homebuyers
If you’re a first time home buyer, here’s some really useful advice for you.
Always keep your long term goals in mind
You don’t buy a house every day. In fact, most of you wouldn’t buy another one for the next 5 to 10 years. So consider your future plans before buying a house.
If you’re going to marry soon, want to have kids or will be living with your elderly parents, you’ll need home of an appropriate size.
What if you’re only buying so that you can sell later on when the property appreciates? Think about your targeted audience then. For instance, if you buy a house in a district without good schools, you can eliminate parents from potential buyers. Similarly, if your house is going to be on a busy street or in the suburbs, you’ll be able to sell to only those buyers who prefer that particular neighborhood. If you plan to rent out the home, ensure that the local authorities allow you to do so.
Make a list of essential features
What features are absolutely mandatory in your house? If you’re a first time home buyer, you may become overwhelmed and add too many items to the list. Think practically, and compile a list of essential features and nice-to-have things. Now whenever you visit any house, take this list with you and only consider those homes that are equipped with all your preferred essentials.
Consider all expenses when budgeting for your next home
One of the most important advice that we can give to a first-time home buyer. When you plan finances for your next home, don’t just consider the price of the house. You should consider other expenses as well such as interest, insurance, taxes, utility bills, repair and upgrades, as well as fuel costs that will arise when you travel to your office and other frequently visited places from your new home.
Read the HOA contract
Reading the homeowners association contract is essential. Before buying a house that you like, get a copy of the HOA contract and read it thoroughly.
Learn more about the neighborhood
Thinking about buying in an area where most of the homes are rented properties? In such a case, the value of the neighborhood may drop significantly if some of the landlords or renters turn out to be bad. If the area is occupied by singles mostly, your kids may find nothing to do and become bored.
Go through the contract carefully
Our last piece of advice: Buying a home is the biggest financial decision that you’ll ever make, and so you should be absolutely sure about everything. Review the contract and ensure that you understand all the clauses. If anything appears confusing, reach out to your real estate agent and ask them to explain.
Keep following our blog for more first time home buyer tips and other great advice!