4 Tips For First-Time Home Buyers

Posted on: 10 May 2016

If you are interested in purchasing your first home, there are plenty of things that you should consider. When you take into account all these different aspects of buying your first home, you can determine whether or not you are truly ready to make the purchase and what kind of homes you are able to look at so you don't get your hopes set too high. Here are four tips for first-time home buyers to consider:

  1. Determine How Much You Qualify For: One of the first things you should do is get a pre-qualification from a lender. Not only does this allow home sellers to take your seriously, but it gives you a better idea as to what you can afford. If your pre-qualification came back to something you weren't expecting, such as a lower loan amount than you hoped for, it could possibly mean that you need to fix something on your credit report. There may be mistakes that need to be cleared up on your credit report or you may need to pay off a few creditors that you didn't realize were hurting your credit. Once you do this, your pre-qualification should come back showing numbers you are happier with.
  2. Determine What Type of Home is Best: When buying your first home, it doesn't have to be your dream home. Many times, first-time home buyers go into the process of purchasing their first home believing that they can get the home of their dreams, which often leads to them turning down multiple houses that are selling for great prices. It's important to consider what you're happy to have in your first home. You may even want to consider the purchase of a condo, which is going to be more affordable than a large house in most cases so that you can save money in order to purchase a larger home in the future. When you do this, you can be a more realistic shopper when looking for your first home.
  3. Hire a Real Estate Agent: Meeting with a real estate agent is always a good idea because they are familiar with the area and what homes are currently selling for. They will be able to set up showings at homes that meet your needs and that are affordable for you. This way you are not wasting your time looking at homes that are not within your price range. 

When you consider these tips when buying your first home, you can go into the process with a more realistic mindset.