Buying your first home - A guide for the first time buyer

Buying your First Home

Buying your first home can be exciting but there is a lot to know. There are basic steps that every first homebuyer needs to accomplish.

Your finances

Establishing credit is very important especially when you are looking to purchase a large investment like a house. Your credit reports reflects how you manage your finances. Study your credit report (which you can get from companies such as Experian) and your financial history so you are familiar with it before applying for a mortgage. These reports will be needed for the mortgage approval process in finding out the interest rate and other loan terms.

Familiarize yourself with the mortgage industry

Do your research. Finding the right mortgage and lender is extremely important to your home buying success.
Choose the lender that is best for your needs but be sure to understand the loan process as much as you can before talking to a lender so you don’t feel completely lost.

Get pre-approved for a mortgage

Once you talk with a lender, you should be given an estimate of how much you can afford for a house. This is usually based on a multiple of your income, but can also be based on "affordability".
Being pre approved can help you in a variety of ways. So if a home seller gets two offers, one being yours with a pre approved letter from your bank saying you have been approved for the amount offered, and then there is the other person with no letter, your chances of getting the house are much better.

Determine what you want and what you need

Buying a home isn’t as challenging as most think. If you familiarize yourself with the property market and narrow down what you want and need before buying house the process will run a lot smoother.
Be sure to understand agent duties and devotion because some estate agents represent buyers, sellers, or both..

Start searching for your new home

Your agent will most likely give you multiple listing sheets to review. You might have also picked up a property magazine in your area and found a house through that, shop online, or find ads in the newspaper. Other ideas can be driving around the neighborhoods that have houses for sale. Either way you look, consider these home buying search tools in your search. Do you have an idea where you are looking to buy? Cogges, Deer Park, Madley Park etc?

Home Buying Search Tools

1. Consider houses that others may overlook, you may bag a bargain
2. Get out there to see what’s out there
3. Look into public versions of multiple listing service web sites
4. Search for estate agent web sites (Witney estate agent details)
5. Browse property search engines and networks
6. Find for sale by owner properties
7. Look at magazine and newspapers in print
8. Find foreclosed homes

Handle pre-offer tasks

When looking at houses be sure to look at its structure and features which can help determine if its something you want or not.

Put in an Offer

Once you have found a property that you like, contact the estate agent to put in an initial offer.

House inspections and surveys

It's very important to decide which inspections and tests you want done.
Discuss with estate agent or mortgage provider to find out when inspections should happen and if additional types of testing are needed.

Avoid having to Correct Last Minute Problems

As the contract exchange date approaches, everyone involved in your property transaction should be checking the progress on a daily basis. That way if a problem arises it can be taken care of right away.

Completion

Completion is the event that transfers ownership of the property from the last owner to you.

Happy house hunting!

Adapted from an original article circulated by Article Emporium

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