When you’re buying a new house, you need to have a plan. Buying a house isn’t easy, which is why so many people dread the process. However, it’s important to create a plan and stick to it, to make finding your new home as easy and stress-free as possible. Follow these tips to make finding your new home simple.
1. Know Your Budget
Sure, shopping online for a house is fun… until you realize the beautiful home you’re looking at costs over a million dollars. Most of us aren’t millionaires, which means we have to stick to budgets when buying a new home. Instead of wasting your time looking at listings online with no budget in mind, make sure that you get pre-approved by a mortgage lender first, so you know what home price you can afford.
Getting pre-approved for a mortgage is easy, but there are a few requirements, including a minimum credit score. The lender will run your credit report to ensure you can afford a loan. This is similar to a credit report that is run when you apply for an apartment. Landlords look for low credit scores, late payments, payment gaps, and more. Your lender will be looking for the same thing, so make sure you have a good credit score and clean credit history to ensure your best odds of being pre-approved for a home loan.
2. Know What You Want
Have you ever tried cooking dinner without knowing what you want to eat? It’s simply impossible to make a good meal. This analogy applies to looking for a new home as well. If you don’t know what you’re looking for in a home, you’ll never decide which home you want to buy, which can make the process of finding a home longer and stressful.
Know which type of home and features suit your personality and your needs. If this is your first home, odds are you’re looking for something that fits your immediate needs, and you won’t be too picky. If you’re someone who is going to be picky, make sure you keep a list of the features you want in a home, such as an open floor plan, number of bathrooms, number of bedrooms backyard for your pets, and more.
3. Do Research
Once you know which features you want in your home, look for homes that are similar to your ideals. This will allow you to see how much those houses are being listed for. Identify a few neighborhoods you’re interested in by factoring in commute, schools, crime, and prices. You may have to sacrifice a longer commute for a cheaper home, but for many people, it’s worth it. Then, you can hop on any realty website and begin looking for homes online.
You may even have to do specific research to see the prices of added features that you want in your house or on your property. If you are looking for a CCTV security system, you need to look into the typical CCTV installation price. If you want brand new fencing, you should look into the pricing of the type of fencing that you would want. You should always consider these add-ons when doing your research.
4. Set a Timeline
Now that you have your budget and have found a few houses you might be interested in, it’s time to set your moving timeline. You’ll have to consider many things, like, when your lease is up, if you’re currently renting your home, or how to sell your current home. Your timeline can also coincide with life changes, such as expecting a child or changing jobs.
5. Be Realistic
When it comes to finding and buying a new home, you’re going to have to make compromises. You’re unlikely to find a home with all of the features you need, so make sure you know what your top priorities are. It’s okay to be a little bit picky, but there’s no reason to not find a house because you were too picky and unrealistic. For example, if you insist on having a two-story house, you might miss out on a newly renovated one-story that costs less.
On the other hand, don’t be swayed by features that may make you forget about what you need in a home. Just because a kitchen has beautiful granite countertops doesn’t mean it has enough bathrooms for the whole family or a yard for the dog.
6. Work with an Agent
There are no downsides to working with a real estate agent when you’re buying a home. You don’t typically have to pay their commission because that’s something the seller is responsible for. At the very least, a realtor can help show you houses that aren’t listed online so you can see more options and get the best prices.
Agents also know more than you and will help you with the entire home buying process, from finding a house to finalizing the paperwork.
7. Don’t Overlook Important Flaws
You’re likely going to find some flaw in a house. There are times when you can overlook those flaws and times when you should not. If you’re considering buying a fixer-upper, consider how much extra time, money, and stress will go into it. Can you afford to purchase a house with fewer projects? If the answer is yes, it might be better to forego your dreams of house flipping and instead choose a house you can instantly move into.
8. Plan Your Move
While you might not be ready to move right now, you’ll have to consider both the timing of your move and the move itself after you purchase a house. How soon do you need to be out of your current residence after purchasing your home? If you need to move quickly, then you might want to hire a moving company who can help you move out of your old place and into your new one on time.
9. Final Thoughts
Finding a new home is difficult, especially with home prices being so high right now. Luckily, with these tips and the help of a realtor, you can find a new home in no time and with as little hassle as possible.
Make sure you get pre-approved before you get serious with searching for a new house so you don’t waste any time wondering how much you can afford and when your loan will be finalized.
