I’m A First Time Home Buyer, What Should I Ask?March 19th, 2013
Buying your first home is an exciting time with a lot of decisions to be made about the home itself and how to pay for it. It’s important to be rational when choosing a home. There are many questions you no doubt have, but here are 10 things not to be overlooked.
- How much house can I afford? Before buying a home, take all your finances into consideration. Do you have any existing loans? Is your debt manageable? You’re mortgage payment shouldn’t be more than 28-33% of your monthly income. Be realistic in what you can afford; homes can be a financial asset when purchased wisely. (cnnmoney.com) To learn feel free to contact our preferred mortgage lender, Tradition Mortgage.
- What type of mortgage is best for me? The two most popular types of mortgages are fixed-rate and adjustable. A fixed-rate means that the interest rate will stay the same over the course of the loan. An adjustable rate changes in accordance with the open market.
- How much are the home’s taxes? Annual property taxes are an additional expense you will want to take into consideration when purchasing your home. How taxes are assessed will depend on where you are moving.
- Are there homeowner’s association fees? These HOA fees may be included in the area to cover maintenance or community features.
- Do I need a home inspection? Short answer: yes. It never hurts to have the home looked over before you make an offer.
- Do I need homeowner’s insurance? Yes. Make sure you get a policy with ample coverage to help rebuild and replace in the event of a total loss.
- Where are the area’s schools? Even if you do not have children, it is beneficial to find out where the local schools are. You will most likely be in your home for many years, and your circumstances may change in the future.
- Is there a warranty on the home? Warranties and what they cover vary from house to house, so be sure to get the proper information to make an educated decision. If the home doesn’t come with a warranty, they can often be purchased separately.
- Is the neighborhood safe? You want to make sure the home is located in an area where you will be comfortable and safe. Do your own research. In this day and age of Google, no leaf should be left unturned. Explore our Robert Thomas Homes’ Communities!
- When can I move in? The loan process can take several weeks, so be sure to plan ahead and see when the home will become move-in ready.
The best thing you can do as a first-time home buyer is to take your time and find a home and budget you are comfortable with. Be prepared and don’t be afraid to ask any questions that may arise!