Buying a property for the first time can be exciting and nerve-wracking at the same time. After all buying a home is a long-term plan, and unless one can pay for it in cash, it is a long-term financial obligation.
Real property experts are one in saying that such a move should be carefully considered, as it will be a whole lot of work in case a buyer changes his mind, or would suddenly have a different financial circumstance.
Media publication US News published an article aiming to guide first-time home buyers in purchasing their first property. Foremost among their tips for buyers is to finalize the location of their new home.
“One of the more important questions for first-time buyers is how much they are willing to compromise on location. In many large cities, for example, homes closer to town are more expensive than homes in the suburbs. That means buyers have to decide how far out they’re willing to move to get more space. Most experts agree that if you buy a home, you need to make sure you can live in it for at least five years, and maybe longer. The needs and desires of young singles or couples without children are often different from the needs and desires of families, where schools and space matter more.”
Read the rest of the article here.
Carefully evaluate personal finances
Personal finance website Nerd Wallet also came up with a helpful guide on deciding a first-ever real estate property purchase. One of the tips they shared is to allot an amount of money for closing costs.
“In addition to saving for a down payment, you’ll need to budget for the money required to close your mortgage, which can be significant. Closing costs generally run between 2% and 5% of your loan amount. You can shop around and compare prices for certain closing expenses, such as homeowners insurance, home inspections and title searches. You can also defray costs by asking the seller to pay for a portion of your closing costs or negotiating your real estate agent’s commission. Calculate your expected closing costs to help you set your budget.”
Check out the other tips in the article here.
Guide for young families
The website My Mortgage Insider meanwhile shared some tips for young families who are planning to buy their first home. Other than carefully evaluating one’s finances, and other home buying tips, their write-up also featured a guide on how to choose the right property.
“Even if your kids are tiny, they will eventually need to go to school. What are the public schools like there? Will there be bus service to school? Are there sidewalks so your kids can walk safely around the neighborhood? Also consider other other nearby places. Is the future ballet studio for your daughter too far away? Will you have to drive 20 minutes just to get groceries and medicine? What do police say about the neighborhood – actually call them and ask them for data.”
The rest of the tips can be found here.
Deciding on the real property to purchase is a huge decision. It is important to be aware of all the factors to consider before making the final decision.