First-Time Home Buyers Checklist

So you’ve decided it’s time to buy your first house, but you’re still a little anxious and unsure about what steps you need to take next. Then read on; you are in the right place!

The ache for a home lies in all of us, and finally, being able to buy your own house after years of hard work is a monumental moment to cherish. However, it can be nerve-wracking to search miles for the house of your dreams, and the process of buying it is a whole other workout. To help out all newbies entering the world of real estate, we have compiled a short first time home buyers checklist below that can make your journey a lot easier:

  1. Start Saving Early

    Buying a home requires a good amount of money, especially if you’d to put down a significant down payment. The earlier you start saving for your future home, the better position you’ll be in when you find the home of your dreams. Start limiting your extravagant expenses and try to adopt a minimal lifestyle if you wish to buy a home five or even ten years from now. With buying a house comes endless additional costs such as that down payment, mortgage, lease, and repairs after you buy it.

  2. Get Pre-Approved for Loan

    Getting pre-approved is a productive and smart move and can make you a potential buyer. On top of that, many sellers do not prefer people who are not mortgage pre-approved. Getting pre-approved makes you more credible and trustworthy in the eyes of sellers, ensuring that you are capable of paying for the house and completing the sale. Lenders need to check your credit and financial particulars to evaluate the amount of loan you deserve to get. However, you need to stay in constant communication with your lender because pre-approval usually lasts for 60-90 days.

  3. Don’t Forget to Set Your Budget

    Before searching for your dream house, you need to set a budget and strictly bind yourself within it. Budgeting allows you to monitor your savings and expenses and estimate the amount you can save up easily to pay your mortgage payments. In some cases, your lender may approve you of getting a loan above your expectations. However, that does not mean that you have to get a larger loan. Before getting a loan, stay within your budget, keeping in mind that you will have to pay for it later along with your food and living expenses. Buying a home within your comfort zone deprives you of stress and anxiety of a heavy investment failure and will lower your financial burden later on.

  4. Be Careful While Choosing A Real Estate Agent

    Be careful while choosing a real estate agent. A professional real estate agent can be a lifesaver when it comes to the complicated intrinsic process of buying property, especially for first-timers. An authentic and experienced real estate agent can look up the market to find the perfect home for you according to your family size and budget. Real estate agents make the paperwork and the process of preparing numerous documents easier for the clients. They also help negotiate the different costs and recommend the perfect place and communities to live in.

  5. Find A House According to Your Needs

    Before asking your agent to survey the market, decide which type of house suits you. Think about whether you are buying a house for the time being or a permanent abode for your family to live in happily ever after. You may want to choose how much square foot of space is enough for you and your family. For example, if you are young and single, a small cozy apartment could be more than enough. On the contrary, you will need an independent unit and a larger space if you wish to expand your family. Similarly, families with kids prefer having a backyard for the children to play in. Having a set goal for your future home can get you straight to the type of house you are looking for.

  6. Consider Buying Fixer-Upper

    Sometimes opting for a fixer-upper makes for a good bargain. Fixer-uppers are usually independent units that need fixing and repairs. Fixer-upper sellers are easy to negotiate with and are already selling at a much lower price. However, do look for any potential faults. For example, a house with some broken doorknobs and cabinets, unwhitewashed walls, and ceilings needing touch-ups is good enough to buy. You will not need to spend a lavish amount of money to make it liveable. You can still save a handsome amount buying fixer-uppers as compared to a brand new ready-to-move-in house.

  7. Invest in House Inspection! It’s Worthy!

    Even a flawless-looking house of your dreams can have many hidden faults. It is always wiser to hire a professional house inspector to have a detailed check-up of the property, looking for intricate details such as the build of walls and ceilings, strength of the boundary, insulation system, quality, and age of plumbing systems. You can also ask them to do a detailed inspection of the appliances such as the oven, radiators, dishwashers, etc. Not hiring an inspector can make you face many unexpected repairs that can be harsh on your pocket.

  8. Set Your Priorities Straight

    Before searching for a house, set your priorities straight. Make a checklist of the features you are looking for in your dream house and those you can not compromise upon within your budget. While visiting different options, many people get awestruck and admire a certain feature, overlooking many flaws. For example, a house having a luxurious interior but lacking a parking lot should not be an option. So keep your emotions in check and make your approach practical because you don't buy a house every day! 

    Also, have a keen eye on minor details such as the strength of doors and windows, traffic in the area, mobile signals, clean water supply, air, and sunlight inlets and ventilation systems. All these features are easy to ignore but crucial for our daily activities. For example, having jammers in the surroundings can cut you off from the internet, which is not affordable in today's virtual world. Buying a house with minimal or no ventilation system and storage space is also not negotiable. Paying attention to these minor details can save you from getting into a trap.

Final Thoughts

Home is the nicest word that exists. Unfortunately, many individuals decide to avoid the process as it can seem confusing, frustrating, and overwhelming when you’re first exploring the idea. However, Omaha Mortgage Guy has got your back. We are a team of dedicated professionals working on making the path easier and smoother for people.

Get in touch with Omaha Mortgage Guy right now, and let's get started to have a serene mortgage lending experience.

Author Bio

Will Foster | First State Bank Mortgage Senior Loan Officer

I became a mortgage lender in 2010, right after the "bubble" popped, and the mortgage industry underwent an incredible transformation. This has given me a unique advantage in the fact that I have never known anything other than the highly-regulated world we now live in.

Throughout my years of experience, my primary goal has been to keep up with the constant changes in the industry so I can help my clients investigate all of their options and maximize savings. In addition, because I specialize in Conventional, FHA, USDA, Jumbo, portfolio, and VA refinances and purchases, I can help a wider variety of individuals, families, and investors identify and secure the right loan to best suit their future interests.

The mortgage process can be a little confusing and even overwhelming these days with all of the regulations.  I guide my clients through the process from start to finish, and I try and make it as painless and hassle-free as possible.

Will Foster