What is the most important decision you have ever made? Buying a home, especially your first, is probably more important. We know home buying can be stressful as it is quite literally one of the most important decisions you’ll ever make. Check out these 4 tips on the home buying process!



The first and most important thing I am going to tell you is to start saving early as well as to know where your funds are coming from. When organizing your finances make sure to keep the down payment, closing costs, and move-in expenses in mind. Closing costs typically range from about 2-5% of the loan amount. Many people forget to keep move-in expenses in mind but it is important to set money aside for immediate home repairs, upgrades, and furniture. A good credit score can decrease your down payment and help you in a multitude of other ways. Do not close any credit cards during this time. Ask your agent to recommend a lender so you can determine the right price range based on your income, debt, down payment, credit score, and location.



A pre-approval letter can come from a bank, credit union, or mortgage lender/specialist. Your lender will then provide you with a loan estimate. It is important to ask your lender what you will be charged for loan interest rates, closing costs, and the effect the loan will have on your credit. Do not make any other big purchases during this process. Pre-approvals also expire so keep your timeline in mind. A pre-qualification is not the same thing as a pre-approval. Speak with your agent about the difference.



It is important to find the right fit for your home-buying needs. Your agent should deeply understand the current market dynamics within your price range. They should also be well educated on the market for the property type and location of choice. The negotiation skills of your agent should be extraordinary as they can save you $10,000 up to $100,000 or more. You should feel 100% confident with your agent as they represent you and have a fiduciary responsibility to protect your best interest.



Organizing your priorities will give you a tremendous leg up in finding the perfect home. One of the most important factors to think about is location. Nearby restaurants, shops, grocery stores, schools, parking, public transportation and your commute to work are just a few factors to consider. The type of home you are looking for could be a fixer-upper, move-in ready, single-family, multi-family, single-level, or duplex/triplex style. Consider your timeline for living in the home. Is this a forever purchase, vacation property, or starter home? Don’t forget that it’s okay to update and change these preferences as your search evolves!


Lastly, be 100% confident before submitting an offer and always go with your gut! Feel free to reach out to us with any questions. Stay tuned for additional tips and weekly market updates.