Buying your first home can be exhilarating and exhausting. After all, there are a lot of steps that need to be completed before finalizing the purchase of a property. Knowing what to expect from the process can help ease your worries and give you time to prepare your documents accordingly. Having an idea of what to do and the order to do it in helps give you greater confidence and skills to negotiate the price that is right for you.
💯 What Credit Score Should I Have to Buy a House
Among the most important things you’ll need to do before buying a home is to check your credit score to make sure it’s high enough to receive financing from a lender. On average, the higher your credit score is, the less of a down payment you must have on hand. Credit score minimums needed to purchase a home depends largely on the type of home loan.
💵 How Much Money Should I Save to Buy a House
The more money you save for the down payment on a home, the lower your mortgage payments will be. The plus side to waiting until you have a large sum of money saved is that you’re not forced to pay as much interest. This means that the principle of the loan lowers with each payment that you make.
As noted above, your credit score dictates how much money you must put down to be eligible for a home loan. Having 5 percent to 10 percent of the total asking price to put down is advisable. If you can swing more, you’re in even better shape to buy the home that you want.
💻 How to Find a Real Estate Agent to Buy a Home
There are many ways to find the right real estate agent to help you in your search for the perfect home. Technology offers a level of transparency that isn’t available through the telephone. If you were to call around to different real estate agency without first reading a review of the business online, you may be misled to believe that their track record for success is high.
You may also be told that the agency puts their clients first and find out the hard way that it’s anything but true. That’s why it’s important to do your research and read about the real estate agents in the area. Get a feel for how they handle new buyers and how well they’re able to negotiate with the seller
✅ Why Mortgage Pre-Approval is Important
Being pre-approved for a home loan helps you get the best interest rates available from the lender. It also expedites the buying process by having you complete a lot of the paperwork in advance. You’ll be able to bypass some of the steps that are required for first time home buyers and send a message to the seller that you’re serious about the transaction.
📝 Creating a Wish List for Buying a Home
Knowing what types of things to look for in your dream home helps your real estate agent narrow down the search. For example, if you have your heart set on a four-bedroom home with double islands in the kitchen, your agent can show you properties that meet the criteria. They can also look for homes with potential that could be easily remodeled to satisfy your wish list.
The most common items that home buyers look for are spacious kitchens, separate laundry rooms, and garages. Other list items include a beautiful neighborhood, a fast commute, excellent schools, lots of storage, and great neighbors. Each offers an added level of comfort to a dwelling.
💰 How to Place an Offer on a House for Sale
With your real estate agent’s assistance, you can place an offer on a property. Here are the steps you’ll go through to do that:
- Determine the price you’d like to offer the seller for the home.
- Come up with a list of terms and conditions as well as contingencies.
- Propose a closing date.
- Come up with a time limit for the offer to expire.
Now that you possess the knowledge and skills necessary to buy your first home successfully, it’s time to see what the market has to offer you. With the right real estate agent by your side and wish list in hand, you’ll have an easier time finding a property that appeals to you in every way. Not only will it look the way you want it to, it offers you a great return on your investment by maintaining its value thanks to the neighborhood and city it is in.
Your real estate agent is the best source of information about the local community and real estate topics. Give Lesley Wagstaff a call today at 604-313-3358 to learn more about local areas, discuss selling a house, or tour available homes for sale.