Tips to Successful Home Buying
The home buying experience can often be filled with many emotions. Sometimes excitement mixed with a little fear of the unknown. If you are a rookie buyer, you may even feel overwhelmed with the process. It matters not that you are an experienced buyer or a first time homebuyer; successfully negotiating the best deal on your home purchase is your objective, right? By following these tips, you will be armed with all the information you need for a successful home buying experience.
Tip #1: Do your research
To make your search more productive, why not give me the criteria you want in your home and I'll do the searching for you. Search all available homes on the MLS from here to learn about the market. Once you find some homes you're interested in, give me a call ((505) 286-2300). We'll set up a showing at your convenience.
Tip #2: Get pre-qualified
Talk to an experienced loan officer to find out how much you can afford. They will get your financial information and do the calculations to let you know how much home you can afford. As a rule of thumb, your mortgage should not surpass 33% of your gross income. This calculation will put you in the ballpark for the amount you can afford. We can even help you assess your financial situation. A loan officer can pre-qualify you for a loan, which will tell you how much you're eligible to borrow.
Click here to get pre-qualified NOW!
Tip #3: Buy with an eye toward improvement
The classic rule of buying the worst house in the neighborhood still applies. Generating "sweat equity", you can always customize the home to fit your needs.
Tip #4: Create a list of wants versus needs
Make two list, one for your needs and one that addresses your wants. You may need to sacrifice some of your amenities if an exceptional value presents itself though. Knowing what you need versus what you want will make finding your ideal home much easier.
Tip #5: Find the right type of loan
The type of mortgage you get depends on several factors
- How long will you be in the home?
- 15 years or 30 years mortgage?
- How much of a down payment can you afford?
I will help you make the decision about which is the best loan type for you. Make sure you know all the closing costs as well as the terms and conditions of the loan. Still need more information about financing? Click here to read the article on mortgage information.
Tip #6: Make sure the contract protects you
Be sure that the contract allows you to arrange financing, inspect the home and negotiate any problems you see.
Tip #7: Compare lenders for the best deal
With so many lenders competing for your loan, there are plenty of options. Be sure to compare apples to apples though (i.e., fixed rates to fixed rates not fixed rates to variable rates.) We partner with several professional lenders and we would be happy to recommend several to you.
Tip #8: Get the home inspected
Getting the home inspected prior to purchasing it is essential. It possible your home could be your biggest purchase, so don't make it lightly.
Tip #9: A home warranty buys you peace of mind
Buying a home protection plan protects homeowners against the cost of unexpected repairs on major systems and appliances. Typically the warranty covers the repair of mechanical breakdowns for one year. It's different from a homeowner's insurance policy, which covers damage caused by the mechanical failure.
Following these tips will help you when purchasing your new home. For more information, contact us now or call me at (505) 286-2300. I can answer any questions you might have and help you find your next home.
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