You've scrimped and saved for the last few years, preparing for the day when you'd finally be able to buy your own home and stop wasting money renting. You're finally ready to start looking, but is the excitement clouding your head?
While you certainly should have fun, you should also prepare yourself early on so you avoid making mistakes. If you want to make this easy, then read the information below and you'll have all the info you need!
#1. Are your expectations realistic?
One of the biggest mistakes home buyers make, especially those who are doing it for the first time, is setting their expectations too high. It's extremely important to have a realistic idea of what your money is going to get you, or else you're going to be headed for disappointment. For example, if you have $400,000 to spend you're probably not going to find a large penthouse in the middle of the city. While you could certainly find a home within this price range, it's not going to be extremely luxurious. If you have a tight cap on your budget then is a good chance that you may have to look for a condo instead of a single-family home.
#2. Did you get pre-approved?
Even if you've gone through pre-qualification, you should get pre-approved. This is very different because it's a formal application that uses information from tax returns and bank statements to determine if you're officially approved for a loan. This may end up helping you get the home that you want when you're ready to buy, whereas if you were just pre-approved, this wouldn't be the case.
#3. Are you listening to your real estate agent?
Real estate agents go through extensive training to do this job, but they also gain experience as they buy and sell homes. This means that they will be able to give you a lot of good advice and answer your questions with certainty. If you are working with an agent, then listen to them! Take into account the answers they tell you and make sure you work with them rather than against them.
#4. Did you find the right agent for you?
If you want to take the advice of an agent, then make sure you choose the right one. Find an agent who asks you questions, gets to know your needs and finds homes that are suited to you and not just your budget. Make sure you feel comfortable with them and that will ensure you can come to them for all of your real estate needs.
#5. Are you Flexible?
Buying a home requires a lot of flexibility, especially when you're the buyer. You'll have to make sure you are willing to work with the seller when you close, and realize that not doing so may result in not being able to complete the purchase. Work with your agent to set realistic expectations during the buying process and you'll be much better off.
So, there are the tips you need to know! Ask yourself those questions and then get ready to only view homes for sale that you may be able to actually buy. Being informed ahead of time is always a better way to start and will ensure the process goes more smoothly.
I am a licensed member of the Real Estate Council of Alberta since 2005 - proudly representing CIR REALTY, Calgary’s largest real estate brokerage. I enjoy keeping my readers up to date with real estate related information that they can easily understand and use for their own benefit. I welcome feedbacks and comments equally from first-time visitors to my blog, past clients and also from my fellow REALTOR® colleagues. Thanks for stopping by!