I am in the process of buying my first home, what are some things I need to prepare for or watch out for?

Question

I am almost 21, starting the process to buy my first home, is there anything I need to watch out for, important questions to ask. What things do i need to do to prepare for this?

Thank you all for your answers! They are all very helpful, so hard to chose best answer! I appreciate you all taking time to help me out!

Answer 1

Good for you! Congratulations! Yes, there are definitely some things I would suggest. First, don't just settle... Look at MANY houses, before making your decision. Right now in many places, it's a buyers market, so you can afford to be picky! For every 1 buyer, there are 6 houses on the market! This translates into meaning a LOT of inventory, sellers looking to make a deal, less chance for a multiple offer scenario, etc... Two things I definitely recommend... First, make sure you get a home inspection done. This can cost up to $400, but well worth the peace of mind it will give you. Second, ask in your purchase agreement if the seller is willing to buy you a home warranty. Minor cost to them, again about $400. But adds peace of mind for you in case any major things happen. Review the sellers disclosure statements carefully, as they often have information in them regarding a leaky roof, water in the basement, etc... Try to steer clear of any homes that appear to have foundation problems (LARGE cracks in the basement), this can lead to even bigger expenses to fix. Keep in mind that when you have the inspector look at the home, it's their job to be VERY critical. Then, it's up to you to determine which items are ones you can afford to live with, or where you MUST have the sellers fix. It offers you some additional negotiating leverage! Good luck! Happy house hunting!

Answer 2

I read some great answers on this one. This is a first. Congrats to everyone!!!

You are going to need to be pre-approved for your mortgage. This is very important and there are some things to watch out for. Since it is your first home, do not get into a situation where the interest rate could change at anytime. These are not bad loans, just not a good loan to start out with. Make sure that when you get pre-approved, you are pre-approved with a fixed rate of interest and it is no more than 6.75% to 7.125%. Any higher than this and you would want to go somewhere else.

Be sure to use the old adage, "if it sounds too good to be true....". You know the rest. Make sure that your loan officer returns your phone calls in a timely manner, i.e. 24 hours.

By no means buy a home that you are scared you may not be able to afford. This is your first time around so be cautious about this. Buy what you know will not cause you any problems down the road.

If you would like any help on this, i am a Residential Mortgage Specialist and can help you obtain free pre-approval for your mortgage and.or answer any questions you may have. If you would like to contact me, feel free to email me at timothy.kazee@americanhm .com and we can talk about this and other areas to keep in mind.

Good luck on your home-buying experience. Talk to you soon.

Answer 3

Get a good Realtor, don't buy a house with an empty lot behind, don't buy a two bedroom, get an inspection done, visit 2 or 3 lenders(they are good options for first time buyers), ask your Realtor to show you as many houses as possible before choosing one, get a home warranty and ask all the questions you need to ask. It is a BUYER"S MARKET!!!!!!!!

Answer 4

Don't buy one in a high crime neighborhood. Get one that's small if your not planning on kids or a husband soon (it's cheaper too that way).

Answer 5

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