Things First Time Home Buyers Wished They Knew Before They Signed the Dotted Line

If you’re a first time homebuyer, you probably have a lot of questions about your purchase – understandable. While most real estate agents can help you out, the truth is that most won’t want to talk to you unless or until you’re ready to sign an agreement to work together.
That’s not a position you want to be in if this is your first time and you don’t really know what you’re doing. Here are a few things to consider before talking to anybody.
Think About What You Really Want From The Home
A lot of people don’t really know what they want before they start shopping. Make a list. This will be hard. In fact, this will probably be the hardest thing you’ve ever done so far, aside from finding a spouse (if you’re married).
List the essentials you need in a home – these are things you cannot do without.
Now list negotiables – these are things you’d like to have, but can live without or can change later.
Now list the dealbreakers – these are things that you will absolutely not compromise on.
Once you’ve finished with your list, you should be able to walk into a house and qualify it objectively because you already know what you’re looking for.
Spend a Long Time Shopping
Spend some time on sites like Newhomelistingservice.com to get an idea of what you can buy for the money. But, don’t be like most first time buyers who only spend a few minutes looking at local homes before they talk to a real estate agent.
You should be prepared to shop online for a few weeks before you even think about talking to an agent. Look through floor plans, check out tax rates and school districts, and appreciation for the area. By the time you speak with an agent, you should be pretty well informed about the area, which allows you to assess the competency of the agent.
Look At All Of Your Expenses
A home’s cost is more than just the mortgage. There’s insurance, taxes, and maintenance. Add these costs into your budget.
Do You Want To Live In An HOA Neighborhood?
A lot of neighborhoods, particularly in the south and out west, are part of homeowner’s associations. What this means is that there’s an organized group of people who manage a particular neighborhood. They will mow the lawn for you, take care of trash removal, and do general maintenance around the neighborhood.
This sounds attractive at first, but most HOAs can also dictate things like your house color, what kind of windows and treatments you can use, what you do with your front yard, and how you conduct yourself in the neighborhood.
Read Your Contract Before You Sign Anything
People rarely do this, but you should. Get a lawyer and sit and actually read through everything in the contract.
Get a Pre-Approval Letter From The Bank
Get a pre-approval letter from the bank. It will give you a good idea of what you qualify for. And, most real estate agents and realtors won’t want to work with you until you have one.
Don’t Get Too Emotional
Yes, it’s your home, but there are few things about a home that can’t be changed or updated. A lot of first-time buyers fall in love with the first house they see and they can’t see past it. Don’t fall into this trap. If you’ve done a good job defining what you want from a home, you shouldn’t end up buying something you don’t really want, can’t afford, or bought out of “puppy love.”