5 Tips Many First-Time Homebuyers Overlook

Buying a home is a big decision, as this will change your life in a number of ways. This is particularly true if you are going through the process for the first time, as you may not know what to expect along the way.

To improve the likelihood of making a confident decision, here are five tips to follow:

1. Think about the future. Even if you have every intention of remaining in the home for the rest of your life, you never know what will happen. Maybe you will have children and find yourself in need of a bigger home. Or maybe your job will force you to relocate.

Never overlook the fact that you may have to sell the home in the future. Resale value is very important.

2. Know what you want and what you need. There are things you will want in a new home. There are also things you will need. Know the difference between the two and have a checklist to guide you from start to finish.

3. Have a clear idea of the true cost of buying and owning a home. There is more to home ownership than a mortgage payment. How much are the taxes? How about insurance? Is there an HOA fee? How much will utilities cost?

First-time homebuyers often get so excited about making a decision that they overlook these details. Don’t let this happen to you.

4. Shop carefully for a mortgage. No two lenders are identical, which means that no two loan products will be exactly the same.

A 15 year mortgage may be best for you, while the next person is more interested in a 30 year loan. Furthermore, some lenders will offer a better rate than others. This will impact your monthly payment, as well as how much you pay over the course of the loan.

5. Inspect the home, inside and out. Along with using your own two eyes to do so, it makes good sense to hire a professional inspector. This can go a long way in helping you avoid serious trouble, such as buying a home with a leaky roof, cracked foundation, mold, or some other major problem.

As a first-time homebuyer, these are the types of details you never want to overlook. When you keep these five things in mind, you will be in better position to make an informed decision in the near future.