If you think running for public office is daunting, try being a first-time home buyer!
It’s been 25 years since my first experience as a home buyer. We were thrilled to find a 
house that was in our price range, met our family needs and was in a desirable neighborhood. My recollection of that purchase may be somewhat rose-colored, but the biggest concern I remember having was whether the owner was going to accept our offer, and if we had any competition. As it turned out, both of those were non-issues.
Jettison to today’s home buying situation. My newlywed daughter and her husband are living in the home he has owned for several years prior to their marriage. Recently they began looking at larger homes outside the city limits with a few acres of land. I got a call from her after they made an offer on a house, in which she expressed her anxiety over the whole process.
A little second guessing on her part: Was their offer too low? Was she really in “love” with the house? Should they have looked longer? Although her husband has jumped through these hoops before, for all intents and purposes she is a “first-time” buyer. And I believe she’s experiencing the angst that seems to be typical of “first-timers” in this particular housing market.
Based on my readings, my advice to her and to others stepping out in faith to become homeowners is that long before you actually step inside of your potential “dream home,” you’ve got to do your homework.
Reflect upon these questions:
- Should I become a home owner? Your investment is not only financial, but time-consuming and labor-intensive. If you’re a renter, you’ll no longer have a landlord to rely on for repairs and outdoor maintenance. On the flip side, a home can provide stability for a family and an investment in the future.
- How much house can I afford? Sitting down and determining your monthly budget - including outstanding debt - should give you an idea of how much of your income you’ll have available to pay toward a mortgage.
- How do I begin a home search? It’s been reported that nearly 80 percent of potential home buyers begin their search on the Internet. There are a throng of listings that can be found online. Not only can you see photos of the exterior of a home, often there are multiple shots of the interior. Some even offer virtual tours. This is an unobtrusive way to filter through the market and narrow down the possibilities.
What’s next after selecting a few properties to view? Contact a reputable real estate agent. Don’t
know any? An excellent resource is Connect2Agent. It offers buyers (and sellers) a selection of real estate agents, enabling you to select an agent who will best meet your needs.
Of course, any agent would be glad to work with a buyer who comes to them with all of their particular home needs and wants, location and a rough estimate of how much they feel they can afford. However, don’t you want to work with someone who is genuinely looking out for your best interests? Make sure you know who’s representing you.
What are the steps of financing a home? Your local housing market may determine how much of a downpayment will be necessary. Regardless of that requirement, your agent will undoubtedly encourage you to seek pre-approval from a lender. This means your lender is willing to extend a loan to you after verification of your income, assets and debt.
Once your mind is set on purchasing, allow your real estate agent to do his/her job. They know the local market well, have listened to your particular house desires and can arrange to show you your selections. Once you’ve narrowed your choices to one or two homes, take a second look. Don’t be afraid to open closets, look under sinks and behind the furnace. Remember: These spaces potentially could be yours. You want to make sure they’re adequate and problem-free.
Buying a home can be an exhilarating and traumatic experience. Doing your best to be prepared for the process can help take some of the anxiety out of the journey and leave you with the satisfaction that your new home is everything you wanted and can afford.
Posted by Sharon Walker
