Buying your first home is one of the most exciting things you’ll ever do. It’s also one of the more overwhelming things you’ll ever do. The good news is that Berkshire Hathaway HomeServices is here to help you through the process. Read on to get five must-know tips and then contact us at (310) 373-0021 if you’re ready to start the process.
- Don’t go it alone
- Get pre-approval
- Don’t make large purchases before you get approved for a mortgage loan
- Sign up to get notified of new properties
- Have the potential new home inspected
If you’re like most people, your home is one of the biggest investments you’ll ever make. You want the transaction to go smoothly, which all starts with working with the right agent. You need someone with experience. You need someone you feel comfortable with and who listens to your needs. You need an agent that knows the area you’re buying in. You’ll find all this and more with Berkshire Hathaway HomeServices.
Do you know what your budget is? Do you know what you can afford? You don’t want to make the mistake of looking for a home before you know what you can really afford. Who wants to find the perfect home, only to find that it’s actually out of your price range? Talk to a lender about the financing options. Once you’ve found the right lender to work with, have the paperwork processed so that when you find the right home, you’re ready to buy.
When a lender looks at your loan application and determines how much home you can afford, they’re going to be looking at your debt-to-income ratio. They will look at your pre-tax income and determine how much is / should be spent on debt. This debt ratio is going to include student loans, car payments, current housing costs, credit cards, etc. If you take on more debt right before trying to get a mortgage loan, it could impact your ability to get approved for the amount you want.
In order to make sure you’re making a decision that’s as informed as possible, you’ll want to start by looking at what’s available and how much it’s selling for. You can start now by looking at the active listings on your website. Once you’ve found a few you like, then you can save the searches that got you there. Then simply sign up for notifications of new listings that fit those search criteria. Remember that homes in this area can move fast – you want to be on top of any new inventory that becomes available.
No one wants to buy a home that’s full of defects they were unaware of. To prevent this, have a licensed home inspector look at your potential new home. Note that their report doesn’t have to come back entirely clean, but if there are issues you’ll want to take them into consideration when deciding if you should make an offer and when deciding what that offer will be.-