Thinking about buying a house for the first time ever? It can sometimes seem like a daunting task, but if you know the right steps then it can make the process a whole lot easier. It’s still a long and complicated process if you want to do it right. Here’s a quick rundown of the main things you need to know before starting the process!
Before you even think about buying your first home you need to take a good, hard look at your finances. Start by making a budget and really keeping track of all of your monthly expenses. This will help you know what you can actually afford. You should also try to start reducing your debt, building up some savings, and making sure you’re paying your bills on time. It’s also wise to start researching your mortgage options. The two main options are a fixed-rate mortgage that will remain constant no matter the market or an adjustable-rate mortgage that will have a lower initial interest rate but is subject to price adjustments with fluctuations in the market. At this point it’s time to start pre-applying for loans and finding yourself a real estate agent!
The next step is either the most fun part of the process or the most frustrating. This, of course, is finding the actual house. You’ll need to sift through tons of listings in the areas that you’ve narrowed down. You’ll also need to go on as many showings as possible. Once you’ve found the home that fits all of your criteria (and your budget), negotiate an offer by submitting an agreement of sale. It’s also vital that you get a home inspection so that you know if there’s any damage to the foundation and which party will be liable for any repair costs.
Finally, you’ll apply for the actual mortgage and close on the house! Congratulations! It’s a tough process, but it’s one that will bring so much joy into your life.
Read the full article here: First-Time Homebuyer Guide: How To Buy a Home