first time buyer with no clue!?!?!?

Question

I really need help, my boyfriend and i have been carefully considering getting a place and both of us want to buy rather than rent. however i dont no how it all works and get really confused about all the terms and how to go about it! are there any website that explain it for the dafties like me lol?? i want to make sure im doing it right!

Answer 1

Here's my thoughts on this, if you're in the US. If you're not, use them if you like.

Get your finances in order. You should have most of your loans paid off, or at least have them paid on time, every month, for the last 2-3 years. Hopefully you have 10% of the purchase price saved and ready to put down as a down payment. It can be done with less, but you better have very good credit. That's why you should have most of those loans paid off.

Find a realtor next. Go to open houses with the idea of interviewing the realtor, not looking at the house. Go talk to at least 3. Talking to 7 or 8 is OK, too. You want to find someone who you can feel comfortable with, and who you trust. You would probably do better to work with someone who has at least 5-10 years of experience, and works for one of the larger firms in your area. They didn't get to be a big firm by doing the job poorly.

The realtor will discuss what you want, and can afford. There's usually a big difference in these 2. Be ready to adjust your expectations downward. Most of us do. The realtor will help you figure out how much you can afford for a house payment. Some will try to talk you into buying as much house as you can possibly afford. That's risky in my opinion - if you have a downturn, you can lose the house. Work out a budget you are comfortable with, and don't get talked into reaching too far beyond it.

When you find a house, have a qualified inspector look it over and tell you what's wrong with it. They should look at structure, roofing, windows, electrical work, heating and cooling equipment, appliances, foundation, plumbing, and overall quality of the house. Be prepared to walk away from the deal if you don't like what you find. Remember Ralf's Rule of Real Estate: Never fall in love with something that can't love you back, be it a house, car, or jewelry. Spend your love on your boyfriend, kids, or a puppy instead.

Answer 2

I agree with the post to get married first - to protect yourself! But only if you two really love each other. Now on to your questions. Find a way to make a wise decision on a house not an emotional one. That sounds easy but the truth of the matter is that most people buy a house bcs they fall in love with it. WRONG!
Getting a realtor is a good idea if you can find a really good one who is honest. One way to know if you have a good realtor is if they ask for a pre qualification letter from you - they shouldn't show you any houses until they know that you have been qualified by a reputable mortgage rep.
Another way to approach the purchase of real estate is to look at it as a major investment. Find out everything you can about investing in real estate and the many ways you can do it besides just getting a mortgage and being in debt for 30 years.
You can find lots of information from your local real estate investment clubs - just search the internet and look at CREOnline. It stands for Creative Real Estate investing online. Lots of great information.
Good Luck! If you do this right, it could be the beginning of long term wealth, if you do it wrong, it will be a nightmare!

Answer 3

GET A REAL ESTATE AGENT BEFORE THE SUN GOES DOWN. You don't have to pay their commissions, the seller will do that. And having a professional there to represent you is the smartest move you'll ever make on your real estate purchase. You admit that you have no clue what you're doing... so find someone who does. Do a search for "real estate agents in" your city and see what comes up. Then call around and set up appointments to "come in and chat about the home-buying process." Then go talk to 2 or 3 different agents and decide which one you want to work with.

And, Dave, I know we ARE facing a housing price crash and I would be waiting AT LEAST one more year to buy.

Answer 4

1. Go on Charcol.com and moneysupermarket.com and put in details to get a list of mortgage offers
2. Apply for the best mortgage
3. Look for a house you like at estate agents and online
4. Contact the estate agent
5. Make an offer on a house you like
6. If the offer is accepted instruct a solicitor to do the conveyance
7. Bing, you have a house!

Answer 5

This is a GREAT time to buy a house! The market is in trouble, so you can get a great deal. I would say that you need to plan on staying there for awhile, at least until the market picks back up again. I would be careful about shopping for a mortgage online. Always go with a reputable company or bank. Just be careful not to get in over your head. Your first house won't be your dream house, but it can be a great stepping stone. Depending on where you live, there may be classes available for first time homebuyers. Go to class! Our county has Beyond Housing that does the classes and then based on your income you can get a grant for down payment assistance. Don't pass up free money! See what your community has to offer. Good luck!

Answer 6

First, get a Realtor.

Second, get married before you make any major financial commitments, like Real Estate.

That isn't a moral recommendation...marriage gives you SPECIAL legal protections under the law that living together does not provide.

If you two owned a house together, and one of you left, the court would order the other spouse to keep paying the mortgage and would even determine who would stay in the home.

If you are living together, the court will make you sort it out between yourselves, which is very expensive.

If you love each other enough to play house, then love each other enough to PROTECT each other legally. If you don't trust each other enough to do that, then you shouldn't be making major purchaes.

Answer 7

There are a ton of websites out there, in my opinion a good place to start is at Realtor websites, they give a lot of info for fist time home buyers for free, a second place to try and get help is at a bank website. But ultimately i feel that you should just speak to a Realtor, ask around, and find some one that specializes in first time home buyers, they should be the best resource for you with any questions, I also suggest that you try to start at you local board of Realtors. you properly can search on google, but the name of the most local metro area, IE i live in Rochester NY, and mine is the greater Rochester board of Realtors. but most important to you, is ask any and all questions you think of, bother you, any thing. first of all even if you think your question is dumb, its not, and probably the Realtor has had it asked 1000 times, so when it all comes down to it, personal contact is the best way to start you new home search, and ask any and all questions. If you are shy and dint want to talk to a Realtor in your area, you can feel free to email me, I am a NYS Licensed Realtor. and i can help you out. my email is [e-mail]

Answer 8

i would strongly suggest getting a buyers agent from a local realtor. They can review what you desire and your affordable budget along with sending you to a mortgage broker. Then they can seek out the home within those specs. They get a commission only when they find you the perfect home and the seller pays it.

Answer 9

Speak to a reputable mortgage broker or your bank re finances i.e your mortgage. You doubt will need to consult your solicitor to explain the process to you i.e exchanging contracts etc. Its too long to type. Dont be afraid to ask about anything you do not fully understand.

Answer 10

Go hire a Realtor.

It will cost you nothing (the seller pays the commission) and he/she can explain all the steps to buying your dream home.

Good Luck