Buying a home of your own is one of life’s biggest dreams. It’s the goal for so many young couples and families, and it involves a hefty amount of saving and scraping to get there. But if you’re now in a place where you feel it could be possible to get on the housing market, you’re probably also a little hesitant to fully get involved.
And that’s why we’ve made this post. Buying a home can be a lengthy process, but it doesn’t have to get complicated. Here’s what you need to know about getting your hands on some real estate if you’ve never owned a home before.
Add Up Your Finances
What can you afford? And what’s outside of your price range? And what would you be willing to pay if a home was so perfect but just a little too expensive for you? These are all questions you need to consider first. You need to work out your budget well before you start looking for a home, as this estimation is going to form the basis of the mortgage application you eventually take out.
Get Pre-approved
If you’re going to buy a home, you’re going to need a mortgage; rarely can first time buyers use their own savings to pay for a house in full. But putting in a loan application is one thing – getting pre-approved is another entirely. Pre-approval makes you very valuable in a seller’s eyes, and usually means you get first pick over the property you’ve set your heart on.
You may want to work with a mortgage broker here to get a full overview of the range of loans you could be eligible for. It’s best to apply in various areas to really strengthen your chances of getting that pre-approval.
Get to Know the Market
Once you’ve got a budget and you’ve been pre-approved, it’s time to do some market research. What houses are currently available? How have the prices moved in the past 12 months? And would it be wise to wait a little until you put an offer in? You can also talk to your estate agent about subjects like these, but whatever answers you get, be sure to cross examine them and see if they line up. You don’t want to fall for an agent’s trick!
Arrange an Inspection
Once you’ve found a house you like the look of and would love to put an offer in for, get an inspection done. You want to be sure you’re not wasting money on a home that has some nasty hidden secrets, and an inspection will point them out for you. Any surveyor you talk to will be impartial to all sides of the sale, meaning you can trust the results they deliver once the inspection is done with.
If you want to buy your own home, take your time and inform yourself. You don’t want to rush such a big decision – it could come back to haunt you!