First Time Home Buying Tips

We are hitting into the time of year when people move with homes being either bought or sold. If the man is a renter he might be thinking of buying a home. It might be your first home and since it’s a different experience you are often not sure on how to go about doing it. Here are some tips to consider when it comes to buying a new home.

One should start with a good realtor with whom you can work. You want someone with new ideas, with whom you feel comfortable and who has the experience to do a good job as well, no sense having them try the ropes on you. Find a realtor who specializes in buying and selling and looks for a home in the area you prefer. This is very important as they will be able to answer questions right from the average sale price to where the best schools in that area are.

Next is to simply get pre-qualified for a mortgage loan. Your realtor can recommend a good mortgage broker to work with if you have no other person in your mind. Getting pre qualified will give you the price range that you have mentioned and can afford which will help when you start looking at homes. Before recruiting the mortgage professional take a look at your credit worthiness, your income, and your debt load and then find what you can afford and negotiate on what they are willing to lend you. They will also be able to offer you with various methods and loan packages that will help you zero down on the monthly payment you are looking to make.

Another thing is to always be sure whether you want to buy a new home or go for re-sale. Both work with there good and bad points. Of course, since a new home has never been lived in so you get to build it the way you want.

An already furnished and an older home may need repairs and you will need to pay attention to things like the foundation and roof. The other good thing is that a new home has warranties whereas an older home may not. An older home is probably already landscaped and has the yard in place whereas in a new one you may have to treat it by yourself.

For people who are planning to buy a home for the first time condos and town homes are probably the best options. Its easy to get credit on those and can be a good option for some. It’s a complete changed life, and some townhomes today do offer separate play area or children and landscaped parks to offer a better lifestyle to its residents. Buying a home is a beautiful experience, but you need to be smart. Do not let your excitement rush you into doing something for which you might repent later. It is always wise to have a second opinion if you feel unsure about anything.

Once your fear is settled and everything is in place then think about using a real estate lawyer to review your contract before you sign it. A new home is a big investment most people make and it is always best when you are sure, careful and understand what you are signing.

Why Should You Buy a Home ?

We all cherish the dream of having a home of our own, however, when it comes to buying a home it often becomes a very difficult decision for most of us. Considering the fact that we do not really buy-sell a house day in and day out and the amount of money involved in this transaction most people would actually take good time to thing before they can actually say yes.

The most common concern that home buyers would have is about getting a loan and then being able to pay the mortgage. What if I am unable to pay the mortgage? Well, definitely a big question, but then if you do not buy a home you will have to pay or rent – what if you are unable to pay for rent ? Your landlord wouldn’t be very happy to have you stay at his place for no rent definitely. So the negativities of not being able to pay applies whether you buy a home or you have a rented accommodation, however, buying a home has got a host of advantages, besides the pride that you feel as a homeowner.

Buying a home comes with a host of advantages – real estate prices are continuously appreciating and when you buy a home you are actually acquiring an asset that is sure to appreciate year on year. Also you cannot forget the tax benefits that you get on buying a home. Looking beyond the financial benefits, buying a home actually gives you the option to customize it to your needs and taste. Your landlord would definitely not allow you a freehand to modify his place when you are on rent. So when you buy a house, you can actually make it your HOME- just the way you like it to be.

While financial ups and downs are common in everyone’s life we should consider the fact the homeowners would probably like to drive away a renter who defaults on his rents faster than a borrower who would get into a foreclosure when you default your mortgage payments. Most loan providers are used to working with people facing temporary financial crisis and these companies have better financial strengths to support such defaulters than an individual home owner might have. As the foreclosure process is expensive and generally incurs some amount of loss most lenders would not even get into a foreclosure process till the time they are forced into it. In most cases lenders would wait till you are at least 60-90 days delinquent on your mortgage.

Having said all these, you will also need to consider the additional responsibilities and some expenses that come with owning a home. Renters definitely do not need to bear these. There are certain taxes to be paid, maintenance to be done and also attend to the other responsibilities of the community that you become a part of on buying a home. However, considering all the advantages, security and the pride of owning a home it is well worth the effort.

For some people who would even like to shun these factors and enjoy a luxurious lifestyle, buying a town home is probably the best option. Often these town homes are maintained by the developers thus relieving the homeowner of the burden of maintaining a home and other additional community features are provided by the developers to improve the lifestyle of the residents.


The cost of real estate is appreciating very fast and if you at all plan to buy a home, probably this is the time to do it.