Saving is the first step towards buying a home. Failing to save will limit your ability to move somewhere you feel comfortable. Establish a budget and save for at least a year before you move into a home. Home loans usually require a 20% down payment in order for you to be considered as a potential buyer. Opportunities do exist for first time homebuyers that can help you move into a new home but they are limited to certain states. Your best bet at increasing your chances at obtaining a reasonable home loan with a low APR is to save and have a good credit score. Pay off any credit card or small loan debts you currently posses to increase your credit score and chances of being qualified for a good loan.
Where do you want to live? Aimlessly looking for home without a second thought about the neighborhood you may inhabit can leave you feeling regret in the future. Think about the top 3 neighborhoods you would feel comfortable living in to narrow your home buying choices. Choosing a specific area to live can help your realtor narrow down the search for a home that is suitable for you and your family. Before you move to a particular area research the education system, politics, crime rate, and structure of a city to get an idea of what it would be like to move there. Looking up this type of information can play a big factor on where you want to live.
Take a tour of a home at least a few times to see how you feel inside. Your first impression may be good but the second or third time you walk through a home you might find something that you do not like any longer. Do not feel obligated to move into a particular home. Open escrow only when you feel like a home is somewhere you would like to live for an extended period of time.
It’s a lot better to wait a year or two to move into a home you’ll love as opposed to rushing things and living in a place you dislike. A home is a big commitment but a fun one to make. When you finally have a home to call your own the feeling is very rewarding. You can decorate the style of your home to match your character and invite people over to create memories for a lifetime. Finding the home of your dreams takes a little time but is worth the process.
