CONGRATS on taking the exciting step towards owning your first home! We know that this can be a daunting process, especially in today's market. But no worries, we've got you covered with the TOP 10 tips for first-time home buyers in today’s market.
1. BUDGET, BUDGET, BUDGET
Before you start browsing homes, it's important to figure out your budget. Keep record of your finances and start building an emergency fund. Factor in future expenses like a mortgage payment, mortgage and homeowner’s insurance, property taxes, utilities, and repairs, to create a new savings goal.
2. Have your Pre Approval R-E-A-D-Y.
Once you understand your finances, it's time to find a great lender that can provide a pre approval. Shop around and compare your options to see what’s the best mortgage rates and terms. You’ll definitely need this when submitting offers.
3. Connect with a great realtor
Next up, find a great realtor to help you navigate the homebuying process. Your realtor should provide real time alerts for any new listings and will negotiate a strong offer on your behalf.
4. Have a flexible schedule
ESPECIALLY in a seller’s market - Homes are selling faster than you can schedule a tour in this market, so it’s important to have a flexible schedule and view homes weekly.
5. Choose the right neighborhood
When it comes to buying a home, location is everything. Be sure to choose a neighborhood that fits your lifestyle and your budget.
6. Be prepared for a bidding war
In today's seller's market, it's not uncommon for homes to receive multiple offers OVER asking. Be prepared - it’s possible to pay more than a home’s value. You should go over your budget with your lender, in case the appraisal comes in lower than your accepted offer.
7. Don't skip the home inspection
Even if a home looks perfect on the surface, it's important to have a home inspection before you close the deal. A home inspector will look for any potential issues with the home's structure, plumbing, and electrical systems. This information can help you negotiate with the seller or walk away from the deal if necessary.
8. Expand your search
Oftentimes, buyers find lower priced homes just a few miles away from their desired location. For example, Bergen County has higher taxes and higher priced homes than Passaic County.
9. Stay Patient
Buying your first home can be a long process, it's important to stay patient. Don't rush into a deal just because you're eager to own a home. Take your time, do your research, and trust that the right home will come along.
10. Have fun!
Lastly, don't forget to enjoy the process! Buying a home is a big milestone and can be a lot of fun. Take the time to celebrate your accomplishments and enjoy your new home when you finally move in.
We hope these tips have been helpful and feel free to reach out! Remember to take your time, stay patient, and trust the process. Happy house hunting!