o Pay off your existing debts. This
would increase the amount that you
can afford for your home loan. This
means you can afford to buy the home
of your dreams!
o A first time home buyer should
prepare a monthly budget for the future
to find and decide on how much he/she
can pay as mortgage.
• Get pre-approved for mortgage: After
checking your credit report and paying
off all other minor debts, a first
time home buyer can move on to the
next step that is getting pre approval
for a mortgage from a lender. A lender
pre-approves a mortgage for you based
on your credit history, current debts
and income. The amount of mortgage
the lender pre-approves will give
you an idea of the price range for
you can shop for your new home.
• How to select the right agent: A
first time home buyer has to be really
careful when it comes to selecting
the real estate agent. Your real estate
agent plays a very important role
in your home shopping process. To
help you choose the right agent, here
are some tips:
o Check the reputation of the agent.
It goes without saying that any first
home buyer should go for a reputed
agent in the market.
o Look for an agent with experience
in dealing with first time home buyers
like you.
o And you should feel comfortable
with the agent. You are not going
to be life long friends but you should
be able to communicate with the agent
without hickups and he also should
be a friendly and communicative person.
• How to select your home: Making
a choice is not so easy in life. A
first time home buyer will most probably
find it difficult to select a home
for purchase. The key is to narrow
down your selection as you go on your
home shopping. As you keep visiting
houses you may forget about what you
saw some time later. So, it is good
do narrow down your selection as you
go and keep in mind the probable purchases
and eliminate the others. The thumb
rule is to keep just three houses
at any point of time in your home
shopping process.
• Do a selection with reasoning:
The final and difficult step a first
time home buyer has to make is selecting
the home for purchase. Your finance
may limit you from selecting your
dream house. Any selection you make
should be reasonable and justified
for money you are investing.
If you are informed about what to
do and how to do you can have easy
sailing even as a first time home
buyer and make a right purchase
