Buying your first home can be overwhelming. Many people don’t realized everything that goes on behind the scenes until they go through the entire process. Lets take a look at some helpful tips for first time home buyers.
Tips for First Time Home Buyers
Get Pre-Approved
First make sure to get pre-approved from a lender so you don’t have any surprises. Most lenders will let you get pre-approval and help set a budget for you. There is nothing worse than putting a contract down on a house and figuring out you can’t get approved.
Calculate Your Full Payment
Next figure out all aspect of your payment. Many people get online and calculate their monthly payment. Those calculators typically don’t include property tax, insurance or mortgage insurance. Make sure to ask your lender to estimate all of these into your payment. Otherwise you could be hit with a payment that is $200-$300 higher later.
Find a Good Realtor
Find a good realtor that will help you find a home to fit your family. Many first-time home buyers forget practical things that come with experience. Some local lenders include Southwest Missouri Reality, Murney, Carrol Jones, Remax , and many more. Almost every realtor will ask you to sign a contract right away. Rather than going with the first realtor you call, talk to a few different ones then make a decision.
Find an Independent Insurance Agent
Shop around for home Insurance and make sure to get replacement cost. Sometimes agents will write you policy on ACV or actual cash value. Consequently this means that if your roof needs to be replaced you could be charge you your deductible plus deprecation. Replacement cost means that you will just have to pay your deductible. An independent insurance agent can help bring more options to the table for you. They offer rates through multiple companies rather than just one.
Find a Home with A Newer Roof
Get a home with a newer roof because it will help you save money. Roofs can be very expensive to replace. Insurance Rates will be higher the older the roof gets. Always ask the homeowner when the roof was last replaced. Try to avoid roofs that are older than 15 years or look like the roof above. You want to pay attention watermarks or staining because they typically mean a roof has less life left.
Ask the Seller to Pay Closing Costs
Lets be real its so hard to calculate all the money you are going to spend acquiring a new home and getting settled in. Every little dollar you can save will help you live more comfortably. Negotiate having the seller pay closing costs. It can help lower your initial down payment on the house and leave more money for other things.
Save Money for Miscellaneous Expenses
Lastly, a savings for Miscellaneous expenses. While you think you know what to expect there will be something extra that always comes up. These start to add up for things like moving, electric deposits, cleaning supplies, ect.
This blog was brought to you and brought to you by Millennium Brokers.