You need a lot of time and effort to familiarize yourself with the current home inventory while keeping in mind buying a home may be one of the biggest investments you will ever make. Narrowing down your choices will certainly depend on your particular tase. However, often times, many factors are subject to change so it’s important to consider the number of people that will be living in that house, as well as how specious you think it should be. You also have to consider things like the environment, and whether it will be suitable for those that will be living there. Now let’s go over the most important steps if you are preparing to buy a home in 2019.
Save for at least six month
This is very important so as not be burdened with a lot of loans or credit cost when the right time comes. If you already a pile of money stocked up or have a significant amount to start with, you can go ahead. This kind of strategic reserve protects you from the unnecessary and unexpected increase in cost. Also you might have to engage the service of a contractor to change and six some few things in your new home. It’s advisable you do this kind of saving in a new account. If you don’t want to go through this process you can also get prequalified for a mortgage. But you will have to provide financial information on the savings and investments you have to your mortgage banker before the bank and decide how much they will be able to lend you. You will also have to present document of your income, debt and credit. And also, getting pre-approved gives the seller an assurance that you are a reliable buyer with a strong financial footing.
Do research on the home you are interested
It’s advisable you start making research as early as possible because finding the perfect home can take time. You can also check magazines real estate listings to know the ranges of prices. Check for how long they had been in the market, the rate at which the prices are changing. Make a list of those you would love to haves. If you don’t have enough check for a suitable home that fits your pocket. Or instead you can use the services of real estate
agents because they can provide you information on homes and its surroundings that is not on the net or magazine. Their also have experience in buying and negotiating which can be very valuable.
Create a budget
If you already have your savings and you have made a decision on which home to get, you can go ahead and get create a budget. Make sure you include every cost that you probably might not incur just in case you do.
Shop around to get the best mortgage
While getting the home might be the most important, getting the best mortgage will help more than considering a single lender. The most important factors to consider are that the lender offers a (Loan) program that caters to your specific needs, that the lender offers competitive rates, and that they have a history of closing loans on time.
Make an Offer
After making a list and picking the best preferable based on the price and other factors, you can go ahead and make an offer. But before you do, check out for signs of damage or things that may need fixing. If you are buying through a real estate agent, he will help with it. You should check for the following:
i. Check if the plumbing is still I good condition,
ii. If the electrical system switches are in good condition
iii. If the windows and doors are working properly
iv. If there are packing spaces for your family and visitors?
v. How close is it to some specific places like school, work, restaurants, parks and others.
Have the Home Appraised
Let third parties provide an independent estimate of the value of the house you are buying so as to let all the parties involved know that you are paying a fair price for the home.
Make a list of important basic things and get them first
Make a list of your basic needs for your new home and stick to getting them then buy the extra stuff you think the house needs.
Don’t spend more than a third of your after-tax income
Its better to regret spending too little on your home than to over spend. Spending one third of your after tax income on where you will be living should be perfectly manageable. It isn’t always possible when you live in a place like Orange County, LA County, or even Riverside County, but it’s still a good measuring stick for where you will want to be.
Coordinate the Paperwork
Make sure the paperwork is handled by the right person and that you are buying from a seller who is the rightful owner of the house. Make sure you sign all of the paperwork required to complete the purchase, including your loan documents. Once the payment has been made, you are already a house owner.
Be willing to walk away
The process of buying a home is time-consuming and stressful but it is rewarding when you get a home that meets your taste. If eventually, them you are unable to get a home that has got the features you need, walking away
should not be an option but a must. It will cost you nothing to regret walking away for a day that regret living in a hose you don’t like for years.
