Ten Home-Buying Tips

The process of making the American dream of home ownership a reality can be both uplifting and daunting, exhilarating and just plain nerve-wracking. Because of the size and scope of the purchase, it is virtually impossible to completely eliminate all stress through this complicated process. However, with a bit of well-conceived planning and organization, you can significantly reduce the angst that is an inherent part of home-buying.

Here are some basic tips to help you remain focused along the way:

1. Don’t rush! If you’ve just made the decision to buy, be aware that you won’t be moved into your “dream home” by the end of next week. Preparing yourself for the purchase and finding the right home both take time. Be prepared to give them that.
2. If you’re not familiar with the home-buying process, then do your homework and get familiar with it. You’ll be much more prepared when you “know how it works” and what to expect.
3. Take stock of your financial situation and your credit health. Pay off small debts. Put yourself in as strong a financial position as you can.
4. Prequalify for a mortgage. (Use our convenient How Much Income do I Need in Order to Qualify Calculator to help give you an idea of your potential housing costs.) It will actually make house-hunting easier. Compare the offers of several lenders to find the best loan for your situation.
5. Talk to a reliable real estate agent. They can be a tremendous source of valuable information. Consider hiring a buyer’s agent to represent your interests.
6. Determine what your housing needs are before you actually begin looking. This will save valuable time. Also, be clear on Needs vs. Wants. Make a list of what you need in your home, and what you would like to have in it. This will help you to recognize the right house when you come across it.
7. Use flash cards to take notes on each property while you’re house-hunting. Jot down what was good, what was not-so-good, what stuck out in your mind; anything that might help you in your decision-making.
8. When in doubt, ask questions. Ask your lender when you’re applying for your mortgage. Ask the real estate agent while you’re shopping for your new home; or, if you can, ask the seller. Ask other home-buyers. Whatever you don’t know or understand, ask, Ask, ASK. This is not the time to be shy. After all, it’s your money, both now and in the future, that’s at stake.
9. Don’t neglect to do a final walk-through no more than two days before closing on the house, to ensure that its condition is acceptable to you. Who knows, the seller may have removed all of the kitchen appliances, light fixtures and doorknobs. You won’t know if you don’t check.
10. Remember to maintain a positive attitude. You are on your way to owning your own home. As daunting a task as it may look at times, you will survive it. Countless others before you have successfully made it through the journey, and with the proper knowledge and preparation, you will too.