A Step-by-Step Guide To Shopping For a New Home

Whether this is your first or tenth home purchase, shopping for a new home is an exciting time. It can also be a stressful and lengthy process. This guide can help you stay on track and in your new home in no time.

Start Your Search

Before you go to your first open house or showing, ask yourself these questions to make sure that you are informed and ready to look at homes.

• What is my budget?  Use a mortgage calculator to help you decide how much home you can afford and what that translates too for a purchase price. You will need to pay property taxes and insurance as well as principal and interest payments toward your mortgage. Homeownership also comes with maintenance and repair costs. Your new home may also have HOA dues as well. Simply plug all these figures into the calculator located on our website to see exactly what your total payment will be.
• Should I get pre-approved? Yes!  Before you begin working with realtors and viewing homes it’s very important that you obtain a pre-approval. Most sellers will require you to have a pre-approval letter before they will consider your offer. Lendmire can help you get pre-approved and on your way to home ownership! With a pre-approval letter in hand, You can shop with confidence and find the right home at the right price. It also makes the application process that much smoother.
• What kind of home do I want?  At a minimum, determine the number of bedrooms and bathrooms that you need so that you can look for the right size home. Other factors to consider are lot or land size, school district or neighborhood, exterior amenities like a fenced-in yard, interior amenities like appliances, and accessibility. Divide these features into three lists: must-have, must-avoid, and nice-to-have. Looking through online listings on a search platform like Zillow can help you see what is available.
• Who can help me with my search?  Working with an experienced real estate agent is essential, especially for first-time homebuyers who are unfamiliar with the process. Ask around for referrals and recommendations from your coworkers, neighbors, family, and friends.

Looking at Homes

Visiting homes for sale can be a lot of fun, particularly when you have a good idea of your budget, what you like (and don’t like), and have the assistance of an agent. Visit open houses or set up private showing appointments. When visiting a potential property, look in every room and at every feature while you are there. Sellers understand that a home purchase is a big deal and are more than happy to have potential buyers go over their home with a keen, interested eye.

There are a few special circumstances that can result in a great deal for home buyers. However keep in mind these options are not always available in every market.

• Short Sales:  When a homeowner needs to sell their home but cannot expect to get a high enough price to pay off their existing loan, they can look into doing a short sale. These types of purchases must meet strict requirements by the lender and can take more time to be approved, but often result in a great deal for the buyer. If the type of home or neighborhood you want is out of your budget, consider looking for a short sale.
• Foreclosures:  When a homeowner does not pay their mortgage, their lender will eventually take possession of their home through a process known as foreclosure. The lender does not want to keep the property, however, so they usually try to sell it for a great, low price. Foreclosures are sometimes empty for months or even years, so get a thorough inspection to know what maintenance or repairs you may need.
• Starter Homes:  If you dream home is out of your budget, consider looking for something smaller, with fewer luxury features, or in a different area. A starter home is a great place to begin life as a homeowner and they are always in high demand once you are ready to sell and move into something larger.

The mortgage experts at Lendmire know how important finding the perfect home is. Reach out to us today to learn more about how we can help you achieve your homeownership goals. Visit us online at www.lendmire.com. Get ready to be admired, Welcome to Lendmire!