5 Tips To Buying Your First Home
So you’re thinking of taking the plunge and buying your first home in beautiful BC! Here are my top 5 tips and information to help you get started. And remember, “Reality often outweighs fantasy when it comes to buying a home.” There is no such thing as a stupid question! I strongly encourage questions and comments!
1. Get Pre-approved
It’s important to obtain a mortgage pre-approval before house hunting. Mortgage pre-approval saves time and helps you establish what properties you can afford. This marks you as a serious buyer and lets you jump on a property you are interested in, without losing time applying for financing after the fact.
As a Realtor, I prefer to work with home buyers who have been pre-approved. First it ensures that the deal isn’t likely to fall through and I am able to do a better job of finding my client their dream home.
2. Prioritize Your House (or condo) Hunt
April is the busiest month of the year for real estate transactions. The MLS is overloaded; your real estate agent will be texting you non-stop and other prospective buyers will be out in full force. If you are looking to buy your dream home this spring, now is the time to take off a few personal days to house hunt.
Before taking a look at houses, sit down with your partner and write out everything you want in a home. Then prioritize that list into a top 5. Remember a house may not have everything on your wish-list however you could always renovate and add them in. Then, once you see a strong candidate, be ready to act fast.
3. Venture Out
Many first-time home buyers are trading big metropolis city for the suburbs that are in the early waves of urban development. These emerging markets offer great deals, on price and space. Particularly on detached houses, It is important to think about the long run when purchasing a home. When it comes to investing, the best place to invest is in an up-and-coming area.
Often these locations offer extensive public transit, a thriving cultural and retail scene. As well as easy access to the larger urban hub (which can be handy if you still work there).
4. The Offer
When you’re house shopping, keep in mind the market determines the value of a house. Find out what other homes in the area have sold for, how long ago the sale was and what amenities they have.Remember when making an offer, the goal is to go as low as possible without insulting the sellers.
What you want to pay for a house has nothing to do with the fair market value (an estimate of what a buyer would pay a seller for any piece of property). Also, what you can or cannot afford has nothing to do with the value of a house.
Try not to fixate on the list price of a house, but rather the fair market value (an estimate of what a buyer would pay a seller for any piece of property).
The key to success when buying a home is to trust the experts. So make sure that you get a realtor that is committed to finding you the best property for the best price..
5. Home Inspection
Home inspection is the most crucial step in home buying process. Finding the right inspector to check the physical condition of the property that is of interest. It is especially important to have a home inspection done if you are looking to buy an aging or older house.
Inspectors look past the visible surface to the infrastructure, inspecting plumbing and looking for faulty fixtures and waste lines. They check electrical systems to make sure they aren’t overloaded or a safety hazard. They also look at possible structural problems like the foundation, walls and floor joists.
If the home inspector should find something, then you can use it to your advantage to renegotiate the deal. Or you might have to walk away.