Buying Your First Home

Nothing is more exhilarating than purchasing your first home. It's a sign that you are ready to tackle adulthood!

However there are things you should consider before making that big purchase.

Buying your first home can be both exciting and scary at the same time. There are things for you to consider therefore doing the necessary research and getting yourself equipped with the knowledge is a must. This is to avoid from making a rash decision and spending the rest of your time in your new home regretting it. Nothing feels more horrid than having to pay for something you regret buying I Finding the right place; securing the loan and moving in are stressful. And, if you're like most of us, your home will be your largest investment you're likely to make, so the emotions over such a large and personal purchase can often cloud good judgment.

Here are eight key things every potential buyer should know to make sure their experience is a smash, not a crash:

Tip 1: Know Our Budget

While this may seem simple, many people forget to look at all the costs associated with buying a new home. The price of the house, taxes on it, and upgrades or repairs are something that everyone should research, but what about the other, less expected costs? Does a little research before you buy the house? Remember to double check with the agent as well as the bank for any extra charges that you should know about such as closing costs or sales and purchase contract cost.

Tip 2: Preparing Our Credit

This is an important step that often got overlooked. While everyone knows that their credit score will be an important element in determining their mortgage payments, most do not follow a few simple tips for improving their score in the months leading up to the closing. First, make sure you keep the balance on your credit cards under a quarter of the total line of credit. Also, avoid large purchases or transfers that might appear out of the ordinary. And finally, payoff debts if you have any for example outstanding student loans that may be keeping your score down.

Tip 3: Location, Location, Location

This might seem simple enough but a lot of people have gotten caught up in the moment and bought homes on locations they regret later. The first thing to consider is your lifestyle and perhaps where you work. Don't get sucked in on the beautiful surroundings and the amazing price being offered if the area is really out of the way for you or your family members. You might think travelling for two hours to work is not a big deal at the moment because the garden looks amazing but be focus and think long term. Snap yourself out of it and be truly honest and practical about your ·decision. Is the location too far from your work place, family and friends? If it is, then you might want to reconsider.

Stores in a hard-to-access area of town are bound to fail, an umbrella stand in a desert is unlikely to do well, and a house in a valley of an area that receives a large amount of rain each year will probably flood and become subject to water damage. Always research the area your house is in before buying - and not just the physical land around it, but also the people. A beautiful, affordable house just might be surrounded by the neighbours from hell. Make sure you know what the environment around your house is like before considering a move. You don't want to get nasty surprises later!

Tip 4: The History of the House

So you have done your homework and researched on costs and the area around it. But you are not done yet. You now need to look into pre-existing conditions that might be less obvious. We're talking about any sort of bug infestation, or mice, or even squirrels in the attic because these seemingly small issues can cause your savvy buy to become a costly nightmare! There's no way to be entirely sure that the house you want is pest free, but when you view the house, ask. Also, if you are buying a second hand home, it doesn't hurt to find out a little bit more about the previous tenant or owner. Casually throw questions to the agent and watch their reaction when you ask why the owner moved or decided to sell. If their eyes shift when they answer you, they might be something that they are keeping from you, so be wise and be on the look out.

Tip 5: Rate Houses You View

You might be viewing a few houses on the same day or perhaps more than 10 houses or apartments in a week's span. Your memory is bound to fade so below are some tips to keep your apartment/ house hunt organised:

- Bring a digital camera and begin each series of photos with a close-up of the house number to identify where each group of home photos start and end.

- Take copious notes of unusual features, colours and design elements.

- Pay attention to the home's surroundings. What is next door? Do two-storey homes tower over your single- storey?

- Do you like the location? Eg: Is it near a park or power plant?

- Immediately after leaving, rate each home on a scale of 1 to 10, with 10 being the highest.

Tip 6: View Top Choices a Second Time

After touring homes for a few days, you will probably instinctively know which one or two homes you would like to buy. Ask to see them again. You will see them with different eyes and notice elements that were overlooked the first go-around. It's good to view the homes at different time of the day. For example, if you've seen the home in the morning, ask to see it in the afternoon or evening time to get a better feel of the home and the environment. At this point, your agent should find out more about the sellers' motivation and to double-check that an offer hasn't come in, making sure these homes are still available for purchase to avoid disappointments on your end.

Tip 7: Just-In-Case Money

Even when you viewed your home more than 10 times, you might still run the risk of missing something so instead of telling yourself it's impossible to have missed out on anything it's wiser to have some money put aside just in case. To prepare for any sort of problem, a good rule of thumb is to buy a house or an apartment below your maximum budget. This leaves you a little leeway if some sort of small problem pops up once the house is in your possession. Should this precaution turn out to be unnecessary, then you already have the funds gathered to pay back portion of your loan or to put the money to renovating your new home.

Tip 8: Stress in Check

It can be expected that this major milestone is going to be somewhat stressful considering the major investment and lifestyle change you are making. However, it should also be fun, so take pictures of the homes you like, and write notes about each place you see. This might seem a little strange at first but you'll be surprised how this little exercise can effectively remind you why you are going through all this trouble. At the end of the day, if you follow the above steps and listen to your heart, you are bound to be one happy homeowner.