Set Your Expectations right

Just like every other pursuit, there is even a mindset that is required for the home buyers. The experts point out that the expectation of the homebuyer should be right and the best thing to do is to write it on a piece of blank paper. Nothing exists as a perfect home but there is definitely some home which is perfect for one. One must be sure about one’s wants before starting the process of buying.Check list for home buy

Few experts suggest that a wish list should be created and the financial documents should be ready so that one is sure about one’s buying power. One has to be patient and realistic while looking for one’s first home as it’s important to find a home that suits one’s budget at that point of time. One has to keep this in mind that one’s first home is not the last that one would be purchasing.

Check your affordability :

A realistic budget is all the more important as the observers point out that many first time home buyers do not know how much more money they have to spend on their new home. One should know one’s personal budget to know one’s affordability and then one should know the estimated amount and compare the two. A home that is within one’s affordability should be purchased. The neighborhood that suits your needs and requirements should be chosen. It’s always better to be pre-qualified for a mortgage so that one doesn’t end up spending more than one’s affordability.

Evaluate if It Is Better to Rent or Own

Rent expenses are always variable and it is likely that rent will be much higher in the next five years than what it is now. The reality is that it is much cheaper to own than to rent. One should know the tradeoffs between renting and owning an apartment or home of the size one is looking for. Consider the rent that you are paying at present and look for a mortgage loan of an equal amount of EMI, irrespective of what the bank tells you.

Read More: Common Mistakes of Property Investors

Know the local market conditions well enough:

Real estate market conditionsBuyers should be aware about the market conditions, the upcoming infrastructure, the interest rates and much more to assess the value of the property in the next seven years so that one knows the resale value in the future. The market conditions of India was in a lull for the last two to three years and now the realtors are expecting an increased demand with government’s boost in policies and programmes. It can be expected that within a couple of years the real estate market will again catch up with the prices increasing steadily. If you want to buy a home or an apartment under construction, this is the right time as you will get the advantage of the market prices when the construction is complete.

Know the Buying Process:

The realtors suggest not to be too emotional while purchasing the home until the deal is closed as things can go wrong at any moment. So it is always advisable to do a proper homework before entering into the deal. One should not get too fascinated with the price and the house you select should improve your living conditions.

Choose righ home

Choosing the Right Home:

The property should be chosen according to one’s needs and it should be in the right location. At the end one should be happy with what one buys. If one has the feeling that one has got his or her dream home one should not delay in making the purchase decision. The home should meet your personal financial needs in probably the pre-approved amount. This will ensure the satisfaction for a longer period of time.

You must go for the amount you are eligible for

The buyer should not look for a house that he or she is qualified for the full amount of the mortgage. Just give the agent the idea of your affordability or the budget based on your mortgage amount. The mortgage or the loan officer should be well consulted and the options evaluated. One should look into a pre-approval for a loan and it’s always advisable to speak to a loan officer and know one’s finances as there are lot of opportunities available irrespective of one’s credit scores.

A Pre-Qualified or Pre-Approved loan gives you an estimate :

Property approvalIt’s always better to cut your coat according to your cloth as it’s disappointing to let go of a home which is out of your financial capacity. This is precisely the reason to get pre-qualified so that one is aware about one’s purchasing power. It’s not likely that one would attain hundred percent satisfaction purchasing one’s dream home. A trusted financial partner is advisable to be prequalified for a mortgage amount before you start looking for a home. Otherwise one may be misguided and can look in the wrong price range and waste one’s time.

Find out if any Incentives are Available to You?

It is always advisable to find out if there are any state level incentives or grants given through any regulations or whether there are any down-payment incentives. It is advisable to get pre-qualified by a mortgage company prior to the search of your home and evaluate any special programmes offered for the home buyers. Talk openly with the loan officers and find out any grants or incentives available.

Other expenses of owning a home should be clear:

Apart from the cost of buying the property there are other costs also like the taxes and the insurance. So it’s advisable to get educated on the down payment options, closing costs and the payments in the future.

Benefits of hiring a competent Real Estate Agent:

The past credentials of the real estate agents should be checked and the references cross checked with. The agent should be chosen based on the work ethics, knowledge and experience levels. Relate your expectations properly and make sure he understands it. It is better to ask your friends and colleagues for recommendations of the local realtors.

One should hire a real estate agent who understands your needs and concerns. Make sure that the agent educates you thoroughly about the buying process and empower you to take a better informed decision. There must be an understanding between the realtor and the buyer. In choosing a realtor one should hire a well-educated, competent and a professional realtor who is a full time agent.

Markets do vary from each other and a good realtor is one who can give you local information based on his experience. One should select a realtor who understands property values really well and also understands the local market along with the total real estate market conditions.

16 Responses

  1. Vinay

    This is one of the best article posted by you till now. Keep posting these type of useful articles to many people.This is the most useful scheme for all the home buyers.

  2. Oblesh

    I though getting a negotiation price is not much easy in realty market but after gone through thish article thoroughly, I came to know if we get knowledge on current status of the market and location, we can get negotiation price.

  3. Santhosh

    Only thing I want say to All first time home buyers, first gone through this article and read the custmers reviews rating about the company. Then you will get a best builder for you home

  4. Arun

    As first time home buyer I visited two builder they offered me a nice price and they convinced me. But gone through this article I visited them and discussed with their existing customers and verified their documents and I got great negotiation price. So this article helped me to choose right builder.

  5. Ambar

    If anyone is going to buy the home at first time try to see the pre-approved documents of that property because from that approval letter you will get loan from any Bank’s. You will get the confident from that document of living in that new home happily and trust on that builder so that you can invest your hard earned money easily without any worrying or kind of troubles.

  6. Prabhakar

    Builders may change their strategy monthly or yearly but the offers provides by only few builders to attract the customers. Home buyers has to see the quality of property not the offers because whoever keeps the offers they won’t use good materials and also their property will not be approved by properly from the authorities. Be careful with the frauds and cheaters of the real estate market.

  7. Balraj

    I’m advising for those people who are buying the property for the first time, first of all you need to check your budget based on that you have to take a proper decision and you need to choose the good location which is not locates between slum people. And you need to check the builder’s background from which you’re buying the property whether they are good or not. And many more options you have to check just go to this blog you will get clear idea about what to do for the first time home buyer.

  8. Amol

    Yes, for the first time home buyers has to evaluate better to buy the home for the rents or own. Because I had bought the home for the rent for first time at very less amount but after 12 months my home owner increased the rent rate. I’m upset and dispersed of amount increased and in that tension I was thinking how to pay extra amount because my budget was very low. Then I thought instead of living in rent amount by paying huge amount I could own the house. It’s my request to the home buyers, instead of going for rent home go for to own it..

  9. Iresh

    I bought the home from the builder in the costly city at low margin with all the good amenities.This blog article points were helped me like how to negotiate and to check all the process of the real estate property. Thanks a lot for posting useful article.

  10. Yajat

    First time home buyers have to know about the local market condition, like: market prices, locations, features, facilities and many more. First time home buyers need to check and updates all about the current conditions of real estate that they can save their lot of money and become safe from the cheaters..

  11. Raghavendra BN

    Anything we deal for the first time we got a little nervous because we don’t know the dos and don’t of the deal, everyone has a dream to buy home or a place to live in earth and everyone has to face this situation. Well no one knows who is good and who is best in the market to suggest but precaution is better than cure so we should aware of the current market, where to buy and how to buy property? There are several informative sites to prevent new buyer from falling in any trap of builder also few good real estate agents and developer always came with good articles how people are getting cheated. So a little awareness and a little search can protect you from any fraudulent.

  12. Basanth

    very nice article posted related to first time home buyers, I was planning to buy my dream home but I was not known these all the points once I met this blog I got some ideas about how to buy the home from the builders and what are the things I need to check before buying the home.

  13. Lakshya

    With the excitement of buying a flat I went to visit the builder, but when I heard about their project prices I was shocked I didn’t realize about my budget. Then I excuses them I came back to home in an upset mood. Once I was searching homes in online then these blog tips I read out which helps me and to the home buyers to think in advanced about everything related to the property like: budget, location, credibility of builder, approvals, market price and many more before visiting to the builder.

  14. Gaurav

    It’s my advice to the first time homes purchaser to see the builder’s background, their projects constructions quality & choose the right place which should be looks noiseless and surrounding homes all the economical& social nature should be good then only buy it or else go to other builder.

  15. Lohith

    From this post I got some tips to handle first deal with the agents, I went to builder office to check whether they are really providing all the approved documents or not. When I asked for the approval docs they are not ready to show, they are excusing & decided they are trying to cheat their customers. I rejected that builder to own my dream home..

  16. Sunil

    Very useful content posted in this post which will really help to the new home buyers. My aim is to buy the home but these all points I was not known before visiting to this post, Thanks a lot for the listed of fabulous points..


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