Haven Realty's Blog
If you’re buying your first home, there are plenty of things that you’ll need to know. Being informed will allow you to avoid some of the most common mistakes that first-time homebuyers make. These errors and their remedies can be found below. Don't join the crowd and make an error, know before you buy.
They Don’t Have Enough Funds
Every homebuyer plans for mortgage payments. Not every buyer plans for all of the other costs that go along with buying a home. Just because you can afford mortgage payments doesn't necessarily mean that you can afford the house.
There’s so much financially that goes into owning a home. You’ll need to plan for things like home maintenance, insurance, taxes, closing costs, and more. All of this will need to be saved ahead of time in order to buy and maintain a house. Things like property tax and insurance can go up yearly, and these costs can be very unexpected.
Not Securing A Loan
If you don’t secure a loan first and find the home of your dreams, you could be in for trouble. If you haven’t been pre-approved for a mortgage, finding a home and putting an offer in is a bit riskier. Many buyers don’t realize that they can’t qualify for the amount of loan that they think they can. Getting pre-qualified allows buyers to understand just how much house they can afford.
Avoiding Real Estate Agents
If buyers go it alone, they are taking a risk. The seller pays the real estate agent fees in a home transaction. You really have nothing to lose getting a professional to help you. From there, your agent can recommend all sorts of professionals to assist you in your home search including lawyers, mortgage companies, home inspectors, and others. It’s essential for a smooth home transaction to work with people who are experienced and know what they’re doing.
Depleting Your Savings
When you buy your first home, you’re going to need a reserve of cash beyond what you have saved for a downpayment. This cash includes an emergency fund, money for repairs, furniture, new appliances, and other unexpected expenses. If you use all of your savings on a downpayment, you’ll be in a dangerous financial situation. Just make sure you have saved enough extra for a rainy day fund.
Opening New Accounts
Before your loan is closed, you should be frozen- financially frozen that is! Don’t open any new accounts. It can be tempting to head out and buy a new car that will look good in your new driveway or to fill your house with all sorts of brand new furniture, but you should wait. Once you get the keys to your new home, you’re in the clear to spend again and open new accounts. You don’t want to overextend your budget of course. Just be sensible!
552 Dorchester, Boston, MA 02127
552 Dorchester, Boston, MA 02127
You’ve probably heard how important it is to go hands-free in your car, but it can be just as important and useful to be hands-free in the kitchen. If you’re busy washing dishes or prepping for dinner, you can use hands free devices to do everything from answering calls to looking up recipes and preheating the oven. While kitchen appliances haven’t progressed to the point of actually making dinner for you, they can definitely help cut down on the mess.
Top Hands-Free Choices
- Touchless Trash Can – while a foot pedal trash can is a bit cheaper and takes care of most of the same issues, germs can still build up on the pedal itself. A true touchless trashcan has a motion sensor and opens when you wave your hand in front of it like a touchless hand dryer. Some are even smart enough to hook up to your tablet or phone with an app that accepts voice commands.
- Hands-Free Paper Towel Dispenser – Most of the time, when you need a paper towel, your hands are already wet or messy. That means you leave those germs or water on the side of your dispenser each time you grab a paper towel. An easy fix is a hands-free paper towel dispenser that pushes a towel towards you on command. This helps reduce your paper towel waste as well as keeping your kitchen cleaner.
- Motion Sensor Faucet – You can have a sink faucet in your home with the same technology you find in public bathrooms. That means no chicken goo or frosting gets left on the handles. Wi-Fi Appliances – A wide variety of kitchen appliances such as dishwashers, refrigerators and ovens are now available in versions that connect over Wi-Fi to your other devices. That often means you can now control them with voice commands. Ever been partially through your prep work and realize you forgot to pre-heat the oven? Instead of taking the time and water to wash your hands, turn on the oven, then get back to work, you can just say “preheat oven to 400 degrees” and get on with what you were doing.
Smart appliances are a great selling point for a new home, and the small difference in cost can make a big difference in home value. Talk to your real estate agent today to help figure out what the best options are before you invest in that new smart kitchen.
Purchasing a home in a seller's market may prove to be difficult. Fortunately, we're here to offer expert guidance to ensure you can find the best house at the lowest price, regardless of the present real estate sector's conditions.
Now, let's take a look at three tips to help you get ready to pursue a home in a seller's market.
1. Assess the Housing Market Closely
A seller's market likely features a shortage of high-quality houses. As such, you'll want to analyze the local real estate sector closely so you can identify your dream home faster than ever before.
Take a look at the prices of recently sold houses in your city or town. This information can help you understand the average price range for homes of all sizes in your area. You also should find out how long these homes were available before they sold to understand the current pace of the real estate market.
Furthermore, you should make a checklist of home must-haves and wants. Once you craft this checklist, you can assess the houses available in your city or town and map out your homebuying journey accordingly.
2. Get Pre-Approved for a Mortgage
In all likelihood, you'll need to act fast to acquire your ideal residence in a seller's market. If you have a mortgage in hand when you submit a home offer, you may boost your chances of receiving a "Yes" from a seller.
A home offer that is contingent on a buyer's approval for a mortgage often is far from ideal. If a seller receives this type of offer, he or she may be reluctant to accept it, as there are no guarantees a buyer will be able to obtain the necessary financing to acquire a home.
Comparatively, a buyer who gets pre-approved for a mortgage can enter a seller's market with a budget in hand. And if he or she finds a great house, this buyer can submit an offer without having to worry about getting financing at a later time.
To get pre-approved for a mortgage, you should meet with a variety of lenders. These financial institutions can teach you about a wide range of mortgage options and help you find the right mortgage based on your finances.
3. Collaborate with a Real Estate Agent
A seller's market can be tough to navigate, regardless of whether you're a first-time or experienced homebuyer. Thankfully, real estate agents are available who can guide you along the homebuying journey.
Typically, a real estate agent will learn about your homebuying goals. He or she then will keep you up to date about houses that meet your criteria, set up home showings and help you submit offers on residences. And if you ever have homebuying concerns or questions, a real estate agent is ready to respond to them at any time.
Prepare to buy a house in a seller's market – use the aforementioned tips, and you can move one step closer to acquiring your dream residence.