Tips for First Time Home Buyers

Those who are buying a home for the first time should be aware of certain things before they purchase one. It is always better to remain cautious, especially in an industry you are not very familiar with.

• They must first be aware of their financial condition. First, look at your savings and see how much you can afford to invest in a house. Purchasing a home involves making a down payment before you can take any loan. Careful planning with your savings will tell you how much you can use for a mortgage payment. Have a look at various neighbourhoods to estimate the cost that might incur in transportation etc.
• Consider a safe budget and then start your search for a home that falls under your budget.
• Always have your pre-estimate loan approved for getting a mortgage loan. The sellers will not entertain you without seeing your potential purchasing power. Hence, contact a lender for a mortgage loan. He will see your credit history and give you a report that financial institutions use as evidence of purchase power. They will scrutinize your assets and your liabilities to see if you can still pay the loan instalments properly in time. Spend some time with people who can help you boost your credit ratings.
• Bargain for better loan mortgage. Go to a lender after thorough research. The fees charged varies from institution to institution. Different type of institution like banks, credit unions, merchant bankers, and mortgage brokers carry different rates. Once you have closed in on a  deal, get a pre-approval sanction from them.
• Just because you have got a pre-approval loan does not mean that the loans are sanctioned since other factors are involved like lender risk changes and changes in the investment market. So, keep one or more lender as a backup option.
• Once you know your sanctioned loan limit and your own savings, start looking for an agent who will help you with tasks like inspection and insurance. Make sure you get a good one as you do not have to pay anything to the realtor. The seller will take care of it.
• Search for different sites within the neighbourhood that has everything within walking distance. The farther the home is from the metropolitan, less is the cost. While purchasing away from the city center, don’t just go by the cost of the house. Instead consider other factors like commute options, hospitals, markets, and schools. Include the additional cost you might incur later and then, take an informed decision.
• Having selected a home, calculate once more. Before you finally decide to go through your budget once more, check if you have included the closing costs, transportation costs repairs, and maintenance.
• Bigger homes will need more money and you should be well equipped to take care of the rising gas bills, electricity, and other utilities.
• Once your offer is accepted, get it inspected. You can ask the seller to carry out minor repairs once you get the inspection report.

Whether you’re looking to buy or sell in the Kamloops area, for a greater probability of success you need a dedicated professional. I can guide you through the process and be counted on to protect your investment!

Categorised in: Buyers, Kamloops, Real Estate

This post was written by kamloopshomesearchcom