www.bridgewaternjhomes.com Your Somerset County NJ Realtor. 18 years of expertise with listing and selling NJ Real Estate. Contact Bob Rose Jr for an appointment today! 908-295-1807.
1) Is now the right time to buy?
Current market conditions have made it a great time to buy a home. Affordable homes and low interest rates have encouraged many people to purchase their first home. But this doesn't necessarily mean that it's the right time for you. Is your job secure? Can you afford the monthly payments? If you can't answer these questions with a solid "yes", you should probably wait until you can before purchasing your first home.
2) Attend a homebuyer's seminar
You've gone to school and have been taught almost everything you know so why learn about buying a home on your own? Listen to advice from seasoned professionals on shopping for a home, obtaining a loan, and maintaining your investment to help your homebuying experience go smoothly.
3) Getting pre-approved for a mortgage
A pre-approval from a lender will give you more buying power with sellers. It will also allow you to narrow down your home search by knowing precisely what you can afford and lets sellers know that you have financing secured and are ready to buy.
4) The cost isn't just the purchase price
On top of your monthly mortgage payment, you'll need to pay for insurance, property taxes, utilities and maintenance, and that's just the beginning. When you add these costs together with your mortgage payment, owning a home can cost significantly more than you once thought. You may still be able to afford your own home, but you may need to consider a smaller home to stay within your monthly budget.
5) Prioritize your needs and wants
Create a checklist of your needs and wants in your new home of things that are part of the house such as number of bedrooms/bathrooms, property size, etc., and things that aren't part of the house such as neighborhood, neighbors, schools, and commute. Take this list with you when home shopping and take notes of each property to refer to later.
6) First-time homebuyer programs can help
Don't give up on homeownership just because you don't have enough saved for a large downpayment. With an
FHA home mortgage loan, you may be able to put as low as 3.5% down with lenient guidelines with credit scores.
7) Be wary of foreclosures and short sales
Many homebuyers have gotten great deals recently on foreclosures and short sales, but purchasing these properties can come with many hidden problems. For example, these properties are often sold "as-is" and may require a significant investment in maintenance and repairs. But if you're willing to put in the investment and work, you can find a great home at a great price.
8) Choose your real estate agent carefully
Not all real estate agents represent buyers. A listing agent represent sellers, getting them the best price for their property while a buying agent represents buyers by protecting their interests in the purchase process.
9) Making the offer
It is important to do some research before making your offer. Knowing how long the house has been on the market and average prices in the area for comparable homes is valuable information to help you make a competitive offer.
10) Understand what you're signing
Be sure to request a copy in advance of all documents you will be required to sign at the closing. If you don't understand something, don't sign until you have a through understanding. Some buyers even hire a lawyer to review all documents and attend the closing which may not be a bad decision, especially if you don't have a legal background.
