I am a first time buyer looking for a home, what are some of the questions that I need to ask?

Answer 1

My wife and I have owned seven houses and we still do not have all of the answers.

Before you get started, I would suggest that you look only into fixed rate mortgages. Pay at least $100.00 per month or more over and above your fixed payment every month for a whole multitude of reasons. If you cannot afford a fixed rate mortgage, do not buy until you can afford one.

Interview three or more Real Estate Agents to begin with and do your homework before finalizing your decision on the Agent.

Look for a home that will not only meet your current needs but fit your needs for the next five or more years. Look for a desireable neighborhood and do not become too enthralled with purchasing "brand new" home. It is not simply the home you are purchasing but the neighborhood as well. Bad neighbors can make your life miserable.

Be patient and buy the home you want. Many people buy a home and then see another home a few months later and wish they would have been more patient.

Consider school districts, homeowners associations, property taxes, job commutes, insurance rates, etc before making a final decision.

General not to do's include do not buy a two story with all bedrooms upstairs, a home with a two story directly behind you, a home that has had previous insurance claims up to and including water damage, a neighborhood that has experienced a lot of rentals and or investor sales, and homes that are dated and or have been added onto.

Consider the resaleability of the home your are purchasing because it will probably not be your last home. Location, location, location, and patience, patience, patience. Make this a fun and exciting adventure but be advised that buying a home is probably the biggest investment you have made so far. Have all of your other ducks in a row meaning you do not plan on purchasing or need to purchase a new car in the very near future and that you have a very stable employment situation.

Answer 2

First, I would ensure that I have money. Not just enough to cover the monthly payment, but money in the bank.

Second, I would hire a good Realtor. Interview Realtors that have been a buying agent for several years in your area. You want someone that really knows the area and how to negotiate.

Third, take your time...it's a big decision. Many young people get house fever and get the first one that comes along (we did).

Finally, determine how much money you can afford on a house. A good rule of thumb is no more than 25% of your take home pay on a 15 year mortgage. Don't listen to a mortgage company or even a Realtor when they tell you that you can afford more.

Also, be sure you understand the various finance options. NEVER purchase a home with a 40 year mortgage, variable interest rate or interest only loans.

Answer 3

When you get serious about buying one, make a lower offer than your agent recommends. Who knows, you might get it. Also, make your offer subject to a favorable outcome of an inspection hired by you. It may cost you $400 to $500, but after you get the list of things wrong with the house that you didn't see yourself, you can use it to negotiate a still lower price.

Shop several banks for mortages. Get a list of all fees, not just so-called closing costs. Some mortgage brokers (maybe banks too) like to advertise really low closing costs, but then they get you with other fees. It's the total that matters, not the name of the charge or fee.

Also, avoid the low monthly costs mortages that jack up the monthly costs in year two, etc. Just get a straight 30 year (or less if you can afford it) fixed cost mortgage.

Don't forget to include your property insurance and property tax payments in your mortgage payment estimates. If you're looking at a condo (I wouldn't) find out what the monthly fees are and then find out if the condo association has a good fund for large capital repairs such as roofs, etc. (If the roof hasn't been replace for several years and they don't have a sizable fund building up to pay for a new one, you may get a big assessment for the cost. If your agent doesn't understand or acknowledge this--get a new agent.)

Answer 4

Ask about the roof. Here in california you are allowed to have 3 roofs on a house. Ask how old the roof is and how many there are. If it has been more than ten years and there are already 3 roofs, you will have to have all the roofs removed before you can put on a new roof. Ask about the plumbing, is it new? Is it copper or pvc? Ask about additions, did they have proper building permits? Do you have your own financing? Will the seller pay closing costs? A fixed interest rate is better than an adjustable rate mortgage. There are so many things to know and ask, find a realtor you really trust.

Answer 5

Have a solid legit Home inspection done on the property your palnning on buying.

Find out and make sure your comfortable with The commission fees.

Make sure anything you dont understand is explained to you, theres alot of termanology you probably wont understand , that is important. A good realtor will sit down with you and explain everything, especailly since your a first time home buyer.
Its all about what you want, and need.
some realtors will try to sell you on a property b/c They may be the listing Agent (which means double comission for them) or may be in a price range your not satisfied with b/c of the more money they can make off the sale....

Real estate can be FUN AND AN AWESOME experience!
but it can be nasty too, my main concer would be making sure i have a good honest agent.

Answer 6

heres a good book you should check out

100 Questions Every First-Time Home Buyer Should Ask: With Answers from Top Brokers from Around the Country by Ilyce R. Glink

good luck!

Answer 7

Get the home inspected by a professional and get a good lawyer. If you do these two things you wont have to ask a single question. The seller is probably going to lie to you anyway (I'm cynical, or realistic). I bought many houses and the seller always lied to me: No the basement never leaked, no we never had termites, the electrical is up to code, no, that's a swimming pool in the basement.

Answer 8

You need to see if the homes you are interested in have been tested for Radon, and if they haven't they need to be tested and given a passing score as a condition of your buying the house. Also, it will be important to know what the taxes on the new house will be.

Answer 9

Ask for a five-year warranty on the house that includes any problems with the actual structure.

Answer 10

i'm a Realtor. and that i do no longer think of it is honest to take 6% out of the sell. I do think of it is honest to offer 3% to the agent who brings the shopper nonetheless. The itemizing agent I agree would not do plenty extra then you definately would desire to different than gown up and seem profesional. some issues they do which would be important nonetheless is positioned your place on your close by mls. this helps all different brokers, and public, to work out that your components is for sell. you could in uncomplicated terms try this in case you belong on your close by asociation. in case you positioned your place interior the newspaper familiar for the era it is provided it is going to value you, properly a great number of money. Oh in addition they confirm you're shielded from criminal movements. Over seem contracts and what no longer. in addition they evaluate the value of your place so which you will get the main money from the sell. To intense no person buys, to low you lose money. you won't be in a position to stroll down your highway and seem how plenty somebody else is advertising their homestead for and value yours the comparable. properly till each and every thing is precisely the comparable.... 3 hundred and sixty 5 days equipped, undertaking, paint, landscaping, home equipment, and so plenty extra. So with that 2% for the itemizing agent is honest to me. Or a sequence value no rely how plenty you sell your place for. it is all nogotible between you and your agent. yet you could continually do a "for sell via proprietor", making specific that it is an as is sell so which you're no longer in charge later. this implies the shopper is in charge for doing each and every of the inspections earlier signing something. undergo in ideas you get what you pay for. So in case you sell your place via your self. very stable success to you. merely undergo in ideas you will no longer have suggestions from brokers bringing human beings to instruct your place. In todays industry it helps plenty. in case you will locate brokers prepared to take much less then 3% it extremely is stable. it surely relies upon on what you pick them to do for you. warning: paying 3% would not propose you get 3% of paintings out of your agent. in case you utilize an agent do your homework. according to probability ask for a number of there previous clientele and talk with them. And the remark pertaining to to the hamburger flipper....are you kidding me. If it form of feels extremely uncomplicated bypass and get a actual components license and tell me whats much less complicated, your interest or mine.