If you are planning on taking the big step of buying your own home, then you need to know how to go about it. Although it is something to connect with on an emotional level and have fun with, it is also the biggest financial commitment you will probably ever make. The problem for many people buying a new home is that there is so much to think about!
The whole process brings a mountain of things you need to learn about and terminology or processes to get up to speed on. You certainly do not want to find out about those important points or great home buying hacks after you have parted with your money. Taking the time to get some insider tips and tricks on what to look out for when buying your new home makes perfect sense.
Home buying tips
There are many great home buying tips to take notice of especially as a first time buyer. Here are some of the most important to swot up on.
- Think about your budget – the first thing everyone considering buying a new home needs to think about is their budget. This is key so you know how much house you can afford and what type of property you will begin looking for in terms of price. It will also help you to avoid buying a house you cannot really afford and overstretching yourself! To achieve this, make sure you can afford the deposit and also the monthly mortgage repayments along with other essential bills. Once you know what your monthly outgoings will be it is easier to find the house of your dreams while staying within budget.
- Put down the biggest deposit you can – although you can put a little as 5% down when applying for a mortgage to buy your home, the more you can afford the better. Most people try for 20% as a minimum deposit. If you do not have a big amount in your savings to use for the down payment, then it is necessary to save up more before buying. That will bring your mortgage amount and the monthly payments down.
- Location, location, location – location is key when buying a new home. If you buy in a good area with a low crime rate, a pleasant atmosphere and good schools, then you will enjoy your lifestyle there much more. Try to buy in areas that you know are of a high standard and have lots of local amenities. If you are moving to a totally new town or city, do not buy blind! Make sure to walk around the local area at least once to get a feel for it and also research it online.
- Think about work and family – if you will be moving within your local area then think about how convenient it is for the commute to work. If the journey in will be a long haul there and back each day, then this could soon begin to wear you down. It is also key to factor in how accessible your family and friends are. They will play a crucial role in supporting you during the move and after you have settled in, so they need to be close if possible.
- Room for it to grow with you – a great idea when buying your new home is to think about where you could be in five years’ time. If you are currently single, might you have a partner who has moved in with you? If you are a young couple, might you have one or two children by then? Most people will find they need to be a house that has space to grow with them to cater for those sorts of eventualities.
Consider a home warranty company
Once you have brought your new home and moved in then a home warranty is a great idea – the Choice Home Warranty homepage explains why this can really pay off. These warranties cover you against household appliances breaking down and can save you lots of inconvenience and money. These situations very often arise when you least expect it and you do not have the money to sort out the problem. By taking out home warranty cover for an annual fee then you have the peace of mind that this will not be a problem if something does go wrong.
Use home buying tips to buy with confidence
There is no doubt that buying a new home is exciting and somewhat daunting. It represents a huge investment on your part which means you need to make sure you get it right. The above tips should give you the confidence needed to get started.