Buying a New Home
Does the idea of paying into your future equity make more sense to you than paying off someone else's mortgage? If so, you are probably ready to seriously begin thinking about buying your own home. The following page will offer you some tips before you plan ahead and get started.
When Buying A Property, Hire A Specialist
The first step for serious homebuyers is to befriend a qualified REALTOR to discuss your options, the home buying process and to help you plan ahead. When you are ready to start actively looking for a home, be smart from the start and hire a professional REALTOR. A REALTOR earns their commission only when their customer (the buyer) closes on a property. Your agent will work hard for you helping you obtain the best price and terms on your new home.
Shop For Mortgage Rates And Terms
Buyers should always do their homework. A big part of buying a home is securing a mortgage. Before you buy start to familiarize yourself with what is out there. A difference of even half a percentage point can mean a huge savings over the life of a loan. For example, the difference in the monthly payment on a $100,000 mortgage at 8 percent vs. 7.5 percent is about $35 per month. Over 30 years, that's $12,600. If you need to talk to a mortgage lender, ask around or visit my affiliates page for some wonderful professionals.
Get Pre-Approved
The third step for serious buyers should be to get pre-approved. Personally, I advise my customers to take this step before they begin their search. A Pre-Approval is a certificate guaranteeing your interest rate and terms. Once you know how much you can realistically afford, you will be in a winning position when you find the right home, especially when there are other interested buyers. Going through the steps of getting pre-qualified also indicates to the seller that you are serious and really can afford to buy the property.
Define What You Need
The next step is to create a realistic idea of the property you would like to buy. What features are most important to you? What does your family really need to make the move worthwhile? Do you want a pool or gated community? Is drive time to work important? Make two lists: one of the items you can't live without and one of the features you would enjoy. As part of my service package, I provide my clients with a House Hunting Checklist. We use this to refine the wishes from the necessities as we house hunt. A tool like this is very useful and is easy enough to create on your own to track your house hunting.
Visit Properties
Once you have completed the steps above, you will be ready to begin visiting open houses and tour homes. Work in tandem with your Agent to preview homes that might fit your needs, and use your checklist to keep on track. Buyers are often surprised to learn how fast their wish list can change as they search. Be flexible and make sure you are communicating your evolving preferences to your agent.
Keep Resale Value In Mind
Waterfront views, luxurious amenities, and 24hr concierge services can add considerable value to condominium resale. Updated kitchens and bathrooms, additions and curb appeal can increase the value of many residential houses. When you work with a professional Buyer Agent, they will help you plan beyond your purchase and help you look for features that hurt or will help the future resale value.
Rate The Houses On Your Tour
After touring each home, write down what you liked and didn't like about each home or unit. From your notes, compare HOA fees, the condition or availability of the amenities and any other items that are important to you. Work with your agent to develop a rating system that will help narrow down the list of potential homes. For example, pick the home you like best on day one and compare all other homes to it. When you find a better one, use the new favorite as the standard.
Make An Offer
Once you find your dream home or one close to it, it is time to get serious about the financial and contractual side of the purchase. This is where open communication with your agent is vital. A professional Agent will be a step ahead of you and provide you with a break down of what happens next and explain the various ways an offer can go in your situation. Never be afraid or too shy to ask questions in this phase. Remember, once you sign a contract, it is legally binding--so if something is on your mind, now is the time to ask!
Arrange For A Home Inspection
After your offer is accepted, one of your subject conditions should be a property inspection. Never be talked into dropping this condition; it is for your sole protection. In multiple offer situations, it may tempting to sweeten the deal without an inspection but always play safe, and hire a professional to tell you what problems you are buying into. Don't be discouraged once you read the report; it is common to find problems, including leaky roofs, cracked walls, insect infestations and foundation problems. Review the report with your agent who can then renegotiate on your behalf. If you negotiate repairs as part of the purchase, ask for a "walk through" before finalizing the paperwork.
The Closing Phase
Before the closing date, the buyer will need to ensure all the necessary monies are available to them through their mortgage broker. Never leave such details to the last minute, call and confirm everything is on schedule and will close smoothly. Your Agent will be in contact with you with reminders and any remaining paperwork to sign.
Prepare For Life In Your New Home
Before rolling out the welcome mat, consider some moving basics: arrange for an alarm company, activate the electricity, water, gas and phone service, and notify your local post office of your new address. The best time for renovations is often before you move in. Your agent can help you coordinate with the sellers if you need access or quotes before closing.
There you have it, the steps to a successful purchase. If you are planning a move in the near future, I have the services to help you make a smart buy. Moving up, scaling down or just starting out, I can help you move where you want to be in life!
Please feel welcome to fill in this form to request more information on home buying or click to or fill in my Find A Dream Home form with your personal preferences. Either way, I can keep you updated BEFORE new listings hit the MLS and help you beat out other buyers!
See Heather on WFTV Channel 9 - Changes on the Home Front: First Time Buyers
• Sanford, Florida
• Longwood, Florida
• Winter Park, Florida
• Orlando, Florida