When you reach a certain point in your life, buying real estate becomes an investment most people make. You may be about to get married, have gotten your first adult job, or just feel you are ready. Regardless of what leads you to a real estate purchase, there are a few steps you should take to make sure you are doing the best you can for yourself and your family.
The first thing to do when you are thinking about purchasing a home is to check your credit score. Good credit is essential to getting the best interest rate on a new loan.
The second thing to do when looking for a new home is to find a lender. Your lender’s job is to help you decide how much home you can afford.
Once you have decided how much money the lender is willing to lend you, you should check to see how much home you are comfortable paying for. This may or may not match with the amount of money the lender is willing to give you. If you have a lot of extra money, you may be comfortable with a larger amount. If you don’t have much in reserve, it is wise not to max out your loan potential. This gives you more room in your budget just in case you have to take care of unexpected expenses in the future.
Next, you need to decide where you want to live. Research neighborhoods, check out open houses. Drive through neighborhoods at different times of day to see what traffic is like. Research the schools and amenities.
When you have narrowed things down a little bit, it’s time to hire a Realtor. A buyer’s agent works for you. They help you look at any home, and can give you advice and guidance so you make the best choice for you. Realtors help you narrow down your search and help you to put in an offer on a home. Their job is to advise you on each step of your purchase.
With an accepted offer in hand, it’s time to hire a home inspector. The job of the inspector is to check over the house to make sure that everything is in working order and that there are no maintenance issues. If anything comes up you can negotiate with the seller to get issues resolved. This helps to assure you that you can move right into the home and not have any large issues crop up immediately.
Once the inspection period is finished, most of the rest of the time between then and putting the key in your new front door is waiting for the loan to come through. There will be lots of paperwork you need to provide to the lender. You’ll need to secure insurance for the new home. Once your loan paperwork is done, it will be time do a final walk through and sign on the dotted line.