How To Avoid Those First-Time Home-Buyer Blues

Posted on: 26 June 2018

It's finally time; you've made the decision to settle down and purchase your first home. This can be an exciting time, but also a time filled with the potential to make mistakes. To ensure that you don't end up with the first-time home-buyer blues, you should focus on a few key areas that can be rife with problems. Read on to learn more and make your first home purchase successful and fulfilling.

Learn about the process

Many lenders are now requiring that borrowers take part in classes before they will approve their loans. These classes educate buyers on budgeting, loan terms, credit reporting and more and help ensure that the buyer has the skill set to become a successful homeowner. Even if your lender has no such requirement, check out the real estate educational resources that may be available from community action groups in your area.

Get the search on

The wealth of information about homes and the purchasing process on the internet is truly amazing. Most all real estate companies now have glossy sites filled with professionally photographed homes just waiting to be browsed. While you can learn a lot from your tablet, phone or pc, you would be selling yourself short if you relied on that alone. Speak to a real estate professional for inside knowledge about bargains, value and good neighborhoods.

Get financing lined up

Once you have your financial situation resolved you can focus on finding the perfect home. Buyers that already have an approval in hand can move quickly and get priority handling in a hot real estate market. Additionally, an approval takes into account how much you can afford to spend on a home which will help you narrow down the choices.

Know your own financial situation

The amount of money you are approved to spend on a home is not the only consideration. If you get excited about the top number the lender gives you then it's easy to go a bit overboard. Take a deep breath and plug those mortgage costs and other monthly costs into your budget. You may not be comfortable spending that much on your housing costs and just because the lender allows it doesn't mean you should go that high on the purchase price of a home.

Know what you want

Your home wish list should be short and tailored. No home will have everything and searching that way will soon bring frustration and irritation, so set up 3-5 absolute must-have items that you won't budge on and be flexible on the remainder of the items. For example, good schools may be important but you can let the backyard pool slide.

Speak to a local realtor to learn more.