First Time Home Buyer Guide

by Brian Begley

 

Most people have a lot of questions when they are thinking about buying their first home. Do I have enough money for a down payment? Do I qualify for a mortgage? Can I find a home that I like at a price that I can afford? All of these questions, and probably more concern you. Buying a home is most likely the single most important financial decision of your life. I can help you each step of the way. One of the reasons people use a Realtor is for their knowledge and ability. As an experienced Realtor I have gone through this process many times. I know what to do and when to do it. I can help you avoid common mistakes and help you negotiate the best possible deal. Best of all, I have the answer to the most common asked question, “What does this cost you, as a buyer?”……Nothing!

 

What are some of the reasons for owning your own home?

  1. Pay rent and you accumulate a pile of receipts at the end of the year. Own the home and you accumulate equity.
  2. Most of your mortgage payments, in the early years, is interest. Mortgage interest is a deductible expense on your income taxes.
  3. Property taxes are also a tax deduction on your income taxes.
  4. If you meet the IRS guidelines, a home office is also a deduction on your income taxes.

 

Steps to buying a home

  1. You have to determine how much you can afford for a down payments and monthly mortgage payments. I can help you determine this amount through a formula that lenders use.
  2. Decide how much you want to spend.
  3. Decide where you want to live. What kind of neighborhood? What kind of schools? Urban, Suburban or rural areas?
  4. Decide what kind of home your want: new, older, single family, duplex, townhouse, or condominium.
  5. Try to find a home in an area that will appreciate. At some time, when you build up enough equity, you may want to step up to a bigger and better home.
  6. Find a good Realtor, hopefully me, that will help you develop a good sense of prices and market conditions.
  7. See enough houses so you can compare what is out there and fits your needs best.
  8. Through your Realtor, make an offer to purchase the home.
  9. Have the home inspected.
  10. Confirm your mortgage loan.
  11. Attend closing and you are the proud owner of your own home!

 

Article written by:
By Brian Begley
Newcastle Realtors, Inc.
708-828-2800

 

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