Buying a home is not an easy task and therefore, it should be done with proper planning and utmost care. Five important tips while buying a home are hiring a real estate agent, taking loan pre-approval, conducting property research, putting a proper offer of purchase and proper inspection of the home in person.
Sometimes buying a home can be cake walk. However, in most of the situations it is not so. Whether you are buying new home or a resale property does not matter, as you will have to be very cautious. Even if you are done a property purchase and know several things, there are certain points that will definitely affect you adversely, if your steps are not well measured.
For first time home buyers, the risk is more and statistically also first time home purchasers are the ones who commit maximum of the mistakes that one can easily avoid while buying a home. There are a large number of points that need to be kept in mind before buying a home. However, the common mistakes can be avoided to a great extent if just these important home buying tips for buyer are kept in mind. They are most helpful for the first time buyers but even expert buyers can find these helpful.
Hire a Property Agent
Hiring a property agent makes your work of property search and buying much easier and smoother. Firstly, if you tend to buy a house with a property agent’s help it would make your property search quite organized. When you are looking for a house in a certain location with some specifications, you would be able to identify at those properties only which fulfil your specifications if you have a property agent to assist you.
A property agent is well informed about the different types of properties at various locations in your preferred destination. This will speed up your process of home or office buying as you would not be wasting time looking at properties that does not suit your requirements and which you would never buy. An agent also helps you to negotiate better with the seller. Sometimes, it is the agent who does everything while you just pay for the property and take possession. However, you might have to play an important role in selecting the right property agent. Interview him or her and try to find referrals from friends and family.
Obtain an approval for loan
While you have decided that you would buy a house or any other kind of property, a thing that you must secure at the first place is a loan pre-approval. A loan pre-approval is a document that lenders like banks and other financial bodies provide to potential borrowers. They first see whether you are eligible for a loan or not and if yes, for how much amount then issue you the loan preapproval. This does not mean that you have taken a loan but it shows that if you ask for a particular amount of loan then you would not be let down by them.
This gives confidence to both you and the seller of the property. The seller would see a genuinely willing purchaser in you if you show him that you have a loan preapproval with you. This would help you to negotiate with the seller. Secondly, you yourself would be sure about what amount will you be able to pay after having the loan sanctioned.
Before hiring a real estate agent or getting the loan pre-approval figure, decide what your requirements are. In which locality you need the property? What are the various requirements regarding the property? First jot down your needs on a paper and then with these make some initial research on the internet. Online property websites are a great help. This would help you get some initial knowledge about the real estate sector where you want to buy property. However, you must always hire a real estate agent, as more specialized knowledge and experience.
Quoting your offer
After you have chosen a property that you might buy, you must quote an amount to the seller. For this purpose you need to do the research and take help from your real estate agent. The local real estate market where the house is located plays a major role in deciding the price of the house. Other thing that increases your negotiation power is the information about the property you are willing to buy.
Inspection of the house
After you have chosen to buy the house, you need to inspect the house properly in person. Take your agent’s help in this work. Be very critical and observe every part of the house minutely. You should be also sure about the presence of all important legal papers.
If you follow these basic points, your chances of making mistakes will be reduced to a great extent. And you may buy property you desire.
The author has worked for several years in a real estate firm. After taking retirement from his previous job he now writes articles for the internet about all sorts of real estate issues.