Buying a home for the first time can be an exciting yet daunting experience. From understanding the contract terms to navigating the steps between signing and settlement, it’s important to be prepared. Whether you’re looking to invest in a fixer-upper or a long-term investment, here are some helpful tips and tricks to guide you on your journey.
When it comes to flipping a home, it’s important to understand that this can take time, money, and effort to do correctly. Make sure you have the skills and/or the resources to get the place up to code. If you’re looking for a long-term investment, take a long-term approach. Thirty years from now, you’ll be glad you did.
Before you begin your search, make sure you have enough money in savings to cover the down payment and closing costs. Unexpected repairs can be costly, so it’s important to be prepared. Consider the type of home you want and the features you’re looking for. Do you want a single-family home, a condo, or a townhouse? How old do you want the home to be? Answering these questions can help narrow down your search.
If the down payment is less than 20%, you’ll need to factor in private mortgage insurance. The cost of this will vary, but the average is between $50 and $80 per month. When you’re out looking at homes, it’s important to not only pay attention to the house itself, but also to the neighborhood. Driving around to check out the condition of the homes and cars can give you a good idea of the area.
When making an offer, it’s best to have an agent draw up a sales agreement. This document is simpler than a sales agreement, but similar in many ways. By following these tips, the purchase of your first piece of real estate should be an exciting and rewarding experience. Don’t be afraid to seek professional help if needed, and take your time to make sure you’re making the right investment.