First Time Home Buyers Guide
There are few things as exciting as purchasing your first home and beginning to build a life, whether you have chosen a bachelor pad in an up and coming area, a modern family home in a quiet suburb, or a period property that you want to restore to its former glory. Follow the first time home buyer tips below and you will be well on your way to living the dream.
While buying your first property is a hugely exciting step, it is risky by nature. While older more experienced buyers, who may have bought and sold a number of houses during their lifetime, will be able to spot a dud at 20 paces, those without this experience may find themselves blinded to the pitfalls of a home by the excitement of becoming a property owner.
It is also easy to fall in love with every home you can afford the first time you buy a property (or none because you are unable to determine the wants from the needs). If you are married and planning kids soon is that one bedroom condo on the 20th floor of a hip building in the trendy part of town really your best bet just because it suits your budget? Probably not.
Below are several first time home buyer tips to help you keep your head during the process, ensuring you come out the other side with the best deal, and the right home for your needs.
First Steps For New Home Buyers
It is common for first time buyers to want to jump right in and immediately begin looking for their dream home. This is a mistake. There are a few key things that need to be taken care of first that will make the process much more seamless and a lot less frustrating for all parties involved. These first steps include:
- Talk to a lender – You need to find out how much a lender is willing to loan you before you do anything else! By getting pre-approved you will not only know your price ceiling but have a realistic outlook of the houses you can afford when you begin your home search. In addition, getting pre-approved for a loan upfront tells agents and home sellers you are serious about purchasing a property.
- Choose your real estate agent – Picking an agent is easy, but choosing a real estate agent who will have your best interest in mind takes a little homework. Check with friends and family, ask co-workers, go online and check out referrals, and interview several agents before deciding on yours. Calling the agent on the sign is not your best approach as they work for the seller, not you. Hire an agent that works for you to ensure your purchasing needs are looked after.
After these two critical tasks are completed, you are ready to begin the process of looking for the right home to fit your lifestyle and personal needs.
What Should I Look For In A Home?
Buying a home is not like choosing a favorite brunch spot or boutique store to shop in. There are all kinds of things to consider, and research is the fouFind ndation to help you make the right choice.
You cannot go far wrong with a good old fashioned list. Write down what you 100% need from your home, followed by what you would really want but is not absolutely necessary, followed by those would be nice to have things. The list is different for each buyer but some of the items on yours may include:
- Certain number of bedrooms or bathrooms
- Overall square footage
- Open vs closed floor plan
- New home vs resale property
- Space for an office or bonus room
- One story or two
- Home vs condo/townhouse
- Garage, carport, or off-street parking
- Home style, type, or a specific builder
- Good school district
- Onsite or close-by amenities
- Proximity to (you fill in the blank)
Once you have these aspects in mind you will be able to whittle your list of potentials down even more, and the ranking system you have applied will help you to be realistic (i.e. you have fallen in love with the original fireplace in the living room of a home but it does not fulfill many other items on your need list…cross it off and move on!). If you have a solid plan in-place you will quickly be able to determine which properties are contenders and which are only pretenders.
Research Each Property
The old adage is that location, location, location is the most important thing when it comes to buying a property, and it is, but research, research, research is the cornerstone your foundation should be built on! The good news is there is a lot of quality real estate information at your fingertips (or keyboard).
Here are a few things you might want to know about properties you are interested in buying:
- How much the house last sold for
- Homeowners Association details (if applicable)
- Area development plans
- Easement rules
- Property boundaries
- Your millage rate (used to calculate property taxes)
- City/county responsibilities (i.e. garbage, utilities, etc.)
- State tax
- Property tax
Being well informed is not only smart, it is crucial to getting the best home for the best price in the best area possible. This is one of the many areas your local real estate agent will be invaluable in as they can help provide a lot of the data you need about both the home in question and the community as a whole. Utilize their expertise and gain the knowledge you need to make an informed decision.
Neighborhood Details To Know
There are also several things worth knowing about neighborhoods you may be interested in so it is smart to check out the area in more detail before deciding on one particular house. This list includes:
- Preview the community at different times of the day/night. Each visit will give you a better perspective on the noise level, congestion, and how quiet or busy the neighborhood is.
- If you have school age kids, visiting their prospective schools. You can also find out more details by visiting greatschools.org.
- The commute time to/from work, school, or other important amenities.
- Reviewing the state sex offender registry. If the area has a local sex offender site, make sure to check that too.
- Visit the local police station or check out SpotCrime.com to determine the crime level in your future neighborhood.
- Scan for distractions (i.e. is there a highway, public transportation service, entertainment venue, or processing plant nearby).
It is easy to find a home and neighborhood appealing if viewed on a sunny day. However, by doing your research for the homes on your short list, you will have a much more clear view of what you are possibly getting yourself into before moving forward with an offer.
Of course, in areas where there is a shortage of available homes, you may not be afforded much time to decide so keep that in mind if you really like a house and are considering making an offer on it. If you wait too long you may find the house is already contracted when you decide to make your move.
First Time Buyer Self Awareness
You have watched 200+ hours of home makeover shows and are considering buying a shack and turning it into a palace, making a healthy profit along the way. It might be a good idea to take a step back and think about the impact on your life before you take the plunge and consider buying a fixer-upper property.
If your usual weekend routine involves Friday nights out with friends/family, a lazy Saturday brunch followed by having friends over for dinner, and some outdoor activity or quiet time on Sunday, delving into the world of hammering, sawing, and painting may grind you down sooner than you think.
Many first timers fall into the trap of potentially saving money by buying a house to fix up. However, they come back down to earth with a bump when they quickly realize their expectations do not meet the reality of the time and cost involved in fixing up a home. After a hard week at the office are you really in the mood to fit a new tub, tear down walls, or put in insulation/drywall? If so, go for it, but for the rest of us a little reality check needs to be performed before biting off more home updates than we can chew!
It might be a good idea to look at fixing up a home as a sliding scale. If the house needs a new bathroom and kitchen (which are the two most common rooms buyers like to change) plus a few other small jobs, then you may be fine, especially if you plan to incrementally perform the updates. If you are thinking about a host of overhauls in a short period, it may be best to put that home on the back burner and continue searching.
Paying Attention To Property Details
A common pitfall people fall into when house hunting is focusing too much on the current owner’s furniture, decor, or other personal items. Unless you are buying a home as is, these aspects are irrelevant. That beautiful table and hutch that look great in the dining room will not be there when you move in, so try to think about how your own furniture and possessions will fit into the space.
When you view a house it is important to look past the surface and focus on the nuts and bolts of what you are buying. Is there condensation on the windows? This could imply the home is damp as could stains and patches on the ceiling. Are there cracks big enough to fit your credit card in? This could be sign of movement in the home’s foundations. Is one of the doors particularly hard to open or close or are some of the windows stuck in place? This could highlight problems with the settlement of the house.
While compiling your own list is important, it is even more critical to ensure you get a home inspection performed. Have a professional can come through and write-up anything that is broke, dangerous, or out of code. Any issues noted are negotiable so discuss your options with your agent!
Preview The Entire House
You might be surprised how many people decide to buy a house purely based on its interior, and then come moving day finally notice the unkempt backyard or other outdoor eyesores they previously overlooked. It is absolutely vital you take the time to have a leisurely stroll around the entire property, taking into account as many details as you can.
Things of interest include but are not limited to:
- Leaky gutters
- Cracks on outside walls
- A sloping yard that could imply ground subsidence
- Rotting woodwork or woodwork covered in holes that could be signs of a pest infestation
- Concrete breaks or gaps
- Fencing issues
- The roof to include missing pieces or patched area
- Outside air conditioning units
- Chimney (if applicable)
- Diseased vegetation or grass
- Potential drainage issues
If you decide to buy the home, your home inspector should find most of these concerns, but there is no guarantee they will catch everything so give them your list before they get started.
Home Buying 101 – Parting Shots
Buying a home always means a move has to take place so ensure you tackle the packing and moving details as quickly as you can so you can focus on more pressing concerns, like negotiations and getting through closing quickly and easily. It is also smart to order any storage boxes you may need early in the process in case your offer is accepted quickly and you suddenly find yourself short on time.
It is always better to be prepared by taking care of details early on so the majority of your time can be spent finding the ideal house for you and your family. Follow these first time home buyer tips, have fun with your house hunting experience, and before you know it you will be enjoying the fruits of your labor (owning your own home).
Additional Tips for First Time Buyers
Home Buying Advice via Investopedia
Tips for New Buyers by Inlanta Mortgage – Madison
14 Articles First-Time Buyers Should Read at Ferris Property Group
10 Mistakes New Buyers Make from Teresa Cowart
25 Response Comments
If you don’t consider the neighborhood that you are moving too, it could be a huge mistake. You shouldn’t only buy a home based off of the home alone. You need to consider the location as well! If not, you may end up in a location that you do not like, or one that is not convenient for you.
I agree with the statement that the article makes about making sure that your supplier has enough of what you need. It might even be smart to make sure that they have a little extra. Just in case you realize that you measured incorrectly and need one more railroad tie or fence post.
I think that it is great advice to check out the home before you make the purchase. Your really want to know what you are getting yourself into before making the purchase. After all, the last thing you want to do is buy something that isn’t necessarily ideal for your circumstance. Do you have any other tips about finding a home?
Thank you for the information Anita! Such great tips, I need to bookmark this one.
My pleasure AJ.
I really like your tip about looking for the overall square footage of the space when it comes to looking for a home. My husband and I have been thinking about looking at some townhomes for our first home together so we will have to keep these tips in mind. We are really excited to start looking, thank you for sharing!
Amazing tips! I agree about getting a skilled realtor especially if first time home buyer and having difficulties about the process of buying a house.
My husband and I are recently married and looking to buy our first home. We will need some professional guidance in this process, so we will be sure to find an excellent realtor. I also liked your tip to look at the details of a home like concrete breaks or gaps. Thanks for sharing!
Anita, how are you, Mam? I have gotten a new job outside in Orlando that is why we (My family) have to shift. Now, we need to buy a home for us and we need some perfect guidance for this, so, this post provided a lot of important guidelines. Personally, I like about writing on concrete breaks or gaps. Thank you so much and keep posting things like this.
I had heard in the past that locating a great home could be quite difficult, and wondered how people did it. You wrote that you should always consider what the commute time is to work, school or other important activities you’ll regularly attend. If you were to be closer to the school, you could pick up your kid if they were to get sick. Makes sense that many would want to consider this when getting a home.
I do like the details you give about looking over the house with a fine-toothed comb. In particular, I like that you warn first time home buyers against homes with cracks wide enough to fit a credit card through. After all, most first time home buyers have enough trouble getting money together to buy the house in the first place. They don’t want to have to pay for foundation repairs as well.
I didn’t realize just how important it is to know the neighborhood when buying a home. The article says that doing proper research on the neighborhood will help you get a more clear view of what you’re getting into. This is definitely good to know since I’m looking at getting a home soon, and have zero home buying experience.
My sister and her husband are trying to buy a house soon and I’ve been wanting to find some tips to help the process go smoothly for them. Before reading this, I hadn’t thought to tell them to ask friends and family for a real estate agent referral. To me, this definitely seems like a trustworthy way to find someone qualified for the job. I’ll be sure to share this with them!
I like that you talked about how you should consider whether or not you will actually have the energy to fix up a house you bought. I have been looking for a home with my wife, and we had considered choosing a cheaper home that we could fix up. I hadn’t really thought about how many hours of work it would take to fix a house completely, I’ll have to make sure to choose a place that won’t take that much energy out of me.
I like how you say to visit a neighborhood both at night and during the day. It would make sense to find out how a place feels during all times of day. I’m looking for a new home because we don’t have enough room for our three kids, so we’ll have to tour the neighborhood at night and day as you suggest.
This is very much great and hope fully nice blog. Every body can easily get perfect information from here.
Thank you for your post
I love that the article goes into detail on some of the information you need to find out about the neighborhood you’re going to be moving into. After all, way too many people forget about the fact that they aren’t the only ones effected when they buy their new home. Once you move in you’ll have a ton of neighbors to meet and will have a new neighborhood to adjust to loving in.
Great article. When buying a home the neighborhood can make all the difference in a home. This is why you need a local Realtor to help you find the perfect home for you and your family.
Fantastic post. You’ve gleamed words of wisdom from some of the brightest and best in content marketing – so a huge thank you for taking the time to put this together!
I appreciate your point that you should choose a real estate agent who has your best interests in mind. My husband and I are going to be buying our first house. We’ll definitely choose a real estate agent that only wants what’s best for us.
Your home is lovely!
I’ve been living in a condo for a while, and now I’m ready to buy my first single-family home so that our kids can get a cat like they’ve been wanting to for years. Your tips have really helped me prepare for the house-search, and hiring a personal agent as opposed to calling the one on the for-sale sign does sound like a great way to get someone who will work for my interests as opposed to just for the seller’s. Writing a list of needs and wants, like how I need a good school district for my kids, will really help me narrow down my choices, as well.
Hi, and thank you for sharing this post. It has very good pointers about getting to know the neighborhood. It’s good to know what kind of possibilities and maybe troubles it has before you make the decision to buy the home. Even if you don’t have a child, buying a house which has schools nearby will probably make it easier to sell the house.
I like that you said to be aware of the many renovations a house needs and if you have the time to do them. My wife and I want to buy our first home this year and we are lost on where to start looking. We’ll have to find a good real estate agent to help us on this journey.