How To Buy A Home, In 7 Steps
The Amy Jones Group
Wondering where to begin when Buying a Home in The East Valley? Here are 7 steps to follow to get you on the right path to finding and buying the right home for you. So grab a cup of coffee, begin here and we'll get you well on your way!
1. Make 2 lists: One For What You NEED In A Home & One for What You WANT In a Home
It is a good idea for each person that is buying the home to make two lists. That way, you can share each other's needs a wants and come to a firm agreement on what is needed in your home purchase and what your wants are. This list might change one you start viewing homes and that’s ok within reason. Countertops and paint color are things that can easily be changed, and if they affect your budget upfront, then it might be better to put that on another list for projects to complete later.
Remember, time is a very important aspect of choosing a home. We will see home buyers sacrifice their commute to work for remodeled bathrooms. The novelty of an updated home will wear off, then you’ll be stuck with a long commute to work. It’s much better to focus on what you and your family need!
2. Find The Right Buyer's Agent
Be picky about your Buyer’s agent! Hold interviews and get referrals from trusted sources. Buying a home is a huge life decision and shouldn’t be taken lightly. Even though you might buy more than one house in your lifetime, each of those times is going to be a financial, emotional and physical strain on your life. Choose someone who is understanding, thorough, honest and patient. The Amy Jones Group will work for YOU and the best interests of you and your family.
3. Get Preapproved Before You Start Viewing Homes
We understand that Buyers want to get an idea of what’s out there and for how much before they get serious about putting in an offer. The problem with this way of thinking is that the market and interest rates are constantly changing. When interest rates and home prices change, so does your preapproval. The good news is that preapprovals are not time consuming and can usually be processed within 24-48 hours. This way, you will not exactly how much you qualify for and what you monthly payment will be if you find a home close to your maximum amount. All Buyers need to have a pre-qualification letter to submit an offer, so you want to make sure you have this in hand when you start viewing homes for when you find “the one”!
Contact our preferred vendor to get preapproved today:
4. Plan For A Monthly Mortgage Payment That's No More Than 1/3 Of Your Take-Home Pay
Depending on the market and many other factors, your loan approval amount could be much higher than you were thinking. Make sure to set a budget with what your monthly payment will be compared to your household's take-home pay. This is a great rule of thumb to follow if you're not sure what will work best for you. Even if the number is lower or higher, after you are preapproved, you can have your agent adjust your maximum purchase price amount you are searching within to ensure you stay within your budget.
5. Make An Accurate Offer
Your agent can help you decide what a house is worth, based on the similar size/condition homes that have recently sold in the same area/community. The market determines what a home is worth, or in other words, what Buyers are willing to pay for for a home based on recent activity. It is not a good idea to make an offer that is significantly lower than the asking price in any situation. Buyers should be viewing homes within the price range that they are comfortable with that has enough wiggle room to accommodate fluctuations, negotiations, down payment, closing costs, HOA and any maintenance or repairs needed prior to move-in.
6. Dismiss Being Discouraged
Remember: There will always be another house.
Don't fall so hard for a house that you pay more than it's worth or that you can afford. It's so easy to become discouraged after viewing homes online and in person only to find that they are already under contract or out of your price-range. It can be frustrating, but trust us when we say that this is part of the process and you will find "the one" as long as you follow these 7 steps. If one home does not end up working out, there will always be a better one during the next round of home showings. Stick with the plan and don't give up!
7. Do Your Homework & Hire A Good Home Inspector
Just as important as Buying the home itself, protect yourself with a quality home inspection. Make sure you know the condition of the home you are buying before you close. For most, buying a home is the biggest investment they will ever make. That investment can turn into a money pit quickly if there were problems present that the home inspector did not catch.
Setup a Home Inspection with Integrity One Home Inspections today:
Trey Swim - (480) 620-5704