Buying your first home is a big step in your life, as it is by far one of the biggest investments you will ever make. It is important that you don’t get caught up in the moment when looking at homes, but think of it as a business deal, and keep your eyes wide open. Here are five things first time home buyers should know before signing on the dotted line:
Get a Home Inspection
Buying your first home will be very emotional. You may feel a strong connection to a home, a garden or even a street and suddenly lose sight of important details. Regardless of how perfect a home might seem you must always, without exception, arrange for a home inspection as part of your offer. Once you have the results you can be certain you are making the right choice or use any issues with the home to negotiate a better price.
View the Property Day and Night
When viewing potential homes it is important that you see the home you like both in the day and night. Although you may lead a busy schedule, seeing the home during the day and night will give you a different feel for the place. Night viewing is much like wearing rose coloured glasses, and you may miss a lot of tell-tale details that may turn into red flags in the light of day. You will also want to get a feel for the neighbourhood and what is happening throughout the day and night.
Consider all Costs
When purchasing a home it is important to think about the cost of upkeep as it is very different going from renting to owning a home. Your budget will take a bit of a hit as everything will be quite different, from the costs of appliances, to major repairs, it can quickly add up.
Shop around for a Mortgage
Don’t settle for just any mortgage. First time home buyers should shop around for the best rates as well as the best service and options available such as paying bi-weekly to pay down your mortgage more quickly.
ROI
Choose a location that will give you a good return on your investment. Consider up and coming neighbourhoods where property prices will only go up and avoid neighbourhoods where homes are less desirable. Look for signs of renovations in the area and avoid areas that look like they are run down.
By following these simple rules you will have the dream home you’ve always wanted, without getting buyer’s remorse. Happy house hunting!
