Buying your first ever home can be a problem as you struggle through the steps and the obstacles. It’s nothing like buying groceries – buying a house might well be the biggest investment of your life, which is why you can’t mess it up. Here are five important things to keep in mind when you’re buying a house.
1. Budget is always the first concern
Unless you have billions in the bank, finding a house for sale will be limited by your budget. It doesn’t matter whether you’re paying with cash or lending from a mortgage company in Salt Lake City — you probably have a specific amount in mind which should definitely be non-negotiable.
If you’re borrowing money from the bank, however, pay close attention to your credit score. An independent financial adviser might cost you a little more but will be worth it, in the long run, to make sure you’re not biting off more than you can chew.
You should also get an Agreement in Principle (AIP), which basically offers an extra layer of guarantee with respect to sellers and lenders. Note that even the consequential fees add up such as legal fees, removal cost, stamp duty tax, and so on.
2. Location is always an issue
When it comes to real estate, the mantra is always: location, location, location. Look at the location of the property and factor in its proximity to various services in the area. Note, though, that you should also look into the possible future of the area.
It’s quite possible that the property is cheap now, but future buildings around the place will kick up its price. If you’re looking for a home as well as an investment, then you should also consider the possibilities.
3. Use the internet for the search
You should be able to find a great agent to help you with house hunting — but only after you’ve sorted through the Internet and checked out the possible homes, you can add to your list.
It makes sense to create a list comprised of internet listing and agent listings, thereby giving you the best of both worlds. Many agents today have access to listings that you can’t find online and vice versa. When you visit these houses, look at only five a day, so these houses will make an impression on you. From here, you can limit the number of houses in your list.
4. Do your inspection and research
Due diligence is crucial considering the current value of homes today. Your budget, therefore, should take into consideration the number of necessary renovations that must be made on the home.
Emphasis must be supplied on the necessary because these are the renovations that must be done in order for the house to be livable. If you’re renovating for simply pleasurable reasons, then that won’t justify subtracting the amount from the overall value of the home come payment time.
So there you have it, the most important aspects to consider when buying your first ever home. Keep in mind that these variables may change, depending primarily on the kind of home you’re hoping for. That being said, don’t rush into the whole thing and give yourself time to pick through the options before settling in a home.