Buying a home is such a milestone that you want to do your best not to make a mistake. It is a huge responsibility and undertaking worth a lot of money. While the emotions of owning a house may sometimes get the best of you, it is imperative not to forget crucial things. To avoid making any mistakes, step back and take a moment to re-evaluate.
If you are buying a home, the first step is committing to exhaustive research. Do your homework on the process and understand all you need to do before owning a home. Aspects that you may overlook include:
Financial Pre-approval
Once you settle on buying a home, get a pre-approval letter from your credit union or bank. Many people sometimes stop at the prequalification step. That does not make you ready to make an offer on a home. A pre-approval letter lets you know your limit and the value of the home you can buy.
Additional Costs
Regardless of how much lenders may advertise home loans with no extra fees, there is no such thing. Buying the house requires paying down payments, appraisals, and inspection costs. Many lenders intentionally leave out these fees in their advertising.
You may only get to know about them when the time comes. Inquire about all these costs beforehand to ensure you prepare yourself financially and emotionally.
Replacement Costs
While browsing potential homes, you may get ideas on some things you want to have in yours. If you settle on one you may want to modify, remember that it will come at a cost. Be realistic in your ideas, keeping in mind that they will be an extra amount on that of the home.
Surrounding Area
Take a stroll or drive around the neighborhood of your potential home. Check on the social amenities like schools, hospitals, hotels, and whatever you like. What you choose may be where you could live for years to come. Therefore, your surroundings must be comfortable. Most people tend to do this after moving in and sometimes live to regret their choice.
Property Taxes
If you are buying a home for the first time, this is one thing that you must keep in mind. Property taxes vary depending on the location, size of the house, and parcel of land. The tax on a home in one county can be different from another. Understand and inquire beforehand on how much this will be in addition to your mortgage.
Rules and Restrictions of the Homeowner Association (HOA)
As a new homebuyer, you may easily overlook the association fee. Some communities offer perks like a clubhouse and swimming pools at a cost. Inquire about how the condo or homeowner association fees will add to your housing costs.
Parking and Commute
Check and inquire about how many parking spots there are for each home. Your daily commute is also a factor. Distance and traffic to work and back can easily take away valuable time you spend on your hobbies or with your family.
Resale Value
Most people do not stay at their first home for the rest of their lives. For this reason, you will need to know the resale value of your home in case you intend to move.
For more information on things that most home buyers overlook, or if you would like to speak to us about the importance of using a realtor, please contact Texas Roadrunner Realty at 210-598-7600.
