As a first time home buyer, you should be approaching one of the most exciting times of your life. But with everything that goes into the home buying process, it’s all too easy to become overwhelmed.
To avoid stress and get the most out of buying your first home, it’s essential to stay organized. And the best way to do so? With a checklist!
Read on to learn everything you need to add to your home buying checklist to navigate the process like a pro.
Set Your Budget
No matter how many times you’ve gone through the process, the first step to buying a house is to set your budget. Keep in mind that, while your mortgage payment will take up a large portion of your monthly expenses, it won’t cover everything.
You also need to include insurance, taxes, HOA fees, and any other debts and expenses.
At this point in the process, learn your credit score and get a rough idea of how much you’ll need for closing costs as well.
Get Pre-Approved
With proof of your income, assets, credit score, and employment on hand, it’s time to get pre-approved for a mortgage. A home preapproval is a letter from a lender stating an agreed upon amount they’re willing to loan you.
This letter allows you to house hunt with confidence, and makes you more desirable to sellers, as it shows you’re not only serious but able to go through with the purchase.
Choose an Agent
Browsing for a home on your own is easy and recommended. Going through the entire process alone, however, is inadvisable. There’s a reason that almost 90% of home buyers use an agent or broker.
Finding the best real estate agent in your area to help you through the process of buying a home will make all the difference. They have a wealth of knowledge and experience to draw from, and can help you find the perfect home for the right price.
Research Available Homes
Using your own research and suggestions from your real estate agent, you should begin to develop a short list of potential homes to visit and tour. The amount of time you have to browse will depend on the state of the real estate market at the time.
In a buyer’s market, you’ll have more time to weigh your options, whereas a seller’s market might demand faster reflexes. Don’t worry, your real estate agent can help you here.
Make an Offer
Once you’ve found a home that you can envision yourself and your family settling down in, it’s time to make an offer. Now, it’s important to submit your offer quickly, as you want to be the first the seller receives, if possible.
That said, work with your real estate agent to develop a strong but fair offer. The results of your home inspections and home appraisal value will be your best tools for drafting your offer.
Being a First Time Home Buyer Can Be Easy
There’s no way around it, you’re going to encounter stressful moments as you work toward buying your first home. However, that doesn’t mean that being a first time home buyer should be a nightmare.
Using this checklist, you can remove the guesswork and get more enjoyment out of buying your first house.
Looking for more advice and information to simplify the home buying process? Be sure to check out our blog!