In today’s market, there are many uncertainties with buying a home. When is the right time? Can I afford it? Is it the right move for me with my goals? It can be very stressful when determining what suits your needs and if buying a home is worth the investment in this market. If you need a basis on where to start, take a look at the following nine steps:
1. The Funds:
First off, it is crucial to get a handle on your finances. You’ll want to figure out what your income is, your expenses, and your credit level. Sometimes, reducing spending habits, even if only temporary, may be necessary in securing a mortgage on a home. Being open and honest with your realtor will give you the best start on your search and getting pre-approval from a lender will help you to know your budget and keep your search narrowed down.
2. How Much Should You Put Down?
Figuring out how money you are willing or able to put towards the down payment is the next step. It is typical to put down at least 6% of your loan balance. However, the more you can put down the better!
There are many advantages to putting 20% down on a home. This will allow a shorter loan payment period and save you thousands on interest fees as well as mortgage insurance premiums.
3. Choosing A Realtor
The road to owning a home, especially in the busy market today, is a daunting task. Finding a realtor with a proven track record is crucial to a smooth transaction. With Roers, we have the history and reputation proven to serve our clients with trust and dedication.
Our realtor, Anne Kallhoff, is very experienced with over 14 years of residential and commercial selling under her belt. She has sold over 500 homes and says that there is no such thing as a stress free home buying process. However, Anne says that going with an experienced realtor is the key to a low stress home buying process.
4. Decide Your Budget
As we all know, navigating the financial end of the buying process is unarguably the biggest concern of any real estate transaction. Luckily, our expertise has been proven to help our clients work out just how much they can afford. Many people typically decide to use 30% of their annual income towards buying a home. However, that can vary greatly depending on what your personal preferences are.
For another bit of help on deciding your budget, check out this blog article with different items to think about when choosing your price range on your new home!
5. Finding The Perfect Home
Now for the fun part! Looking for a house can be very fun. Envisioning your future can be very exciting. Just be sure to know your deal breakers, needs, and wants!
This will ensure a smooth process. Some things to consider are:
- Number of Bedrooms
- Number of Bathrooms
- The Kitchen
- Location of The Home
- Amount of Acreage
- Garage & Storage Space
These are some things that we believe most people consider the most when buying a home. As these take some futuristic planning to determine what will suit your needs for the years to come.
6. Submitting An Offer
In this competitive market, submitting an offer is tough. You must assess what the home means to you as the seller is likely getting other offers. Roers will make this as stress-free as possible for you by negotiating the price and particulars of the deal through your approval. Anne Kallhoff (realtor) says that even in this crazy market, it is always wise to invest in real estate. With that said, it is currently smartest to make a fair offer initially.
7. Getting Your New Home Inspected And Appraised
Once your house is bought, it is important to get an expert opinion on the home. They will determine the exact value of your house and inspect the home for any damages or code violations. This is nothing to stress about, just a precautionary measure.
8. Closing
Congratulations! You’re officially a homeowner. During this stage, you’ll gain legal ownership of the house, sign paperwork, and get the keys. Now that the stressful part is done, the real work begins!
9. The Big Move
A very chaotic day, but very rewarding. It’s time to settle in, and enjoy your new home. Some tips for moving include:
- Setting a budget
- Get rid of items you wouldn’t buy again
- Leave your clothes on their hangers
- Find free packing supplies
Utilizing these tricks will help you save money and lead to a less stressful move!
Searching for your forever home? Check out our listings or contact our real estate agent.
Anne Kallhoff
Roers Real Estate Services LLC
701-866-4425
akalhoff@roers.com