Don’t Pay Too Much for Your Home

The process of buying a home is a detailed, time-consuming venture. At the same time, it’s an emotional period filled with difficult choices. You want to make sure that the home you purchase meets your family’s needs now, and in the future.

Become a savvy buyer

Know what you want before you begin shopping. Take your time and consider all of your options carefully. Choose the correct Realtor, meet with them personally and ask your friends and family for a referral. Finally, remain objective while viewing potential homes.

Before you shop, develop a needs vs. wants list

Everyone has a picture of their ideal home. This would include all the features you not only need, but have long desired. However, when it comes time to buying a home, the desires cost more. While it’s nice to think about having a beautifully landscaped backyard, or a solarium, perhaps even some built-in appliances, these are usually considered luxury items, which can add considerably to the price of your home.

That’s why it’s a good idea to develop a needs and wants lists. With this list, begin with items you really need like adequate space, garage and number of bedrooms. For most people, basic needs should be considered first. After that, you could consider additional desires, if you can manage these benefits financially.

With such a list in your hands, you’re less likely to be caught up in the excitement of the pursuit. You’ll have a good idea of what you want, within you price range, and if you can afford those additional items.

Get pre-approved before shopping

Visit your financial or lending institution prior to home buying. Quickly, you’ll know the amount of mortgage you’ll receive and the associated costs. Be sure to get a mortgage commitment in writing to show sellers that you’re a serious prospect. Depending on market conditions, a seller may lean towards an unconditional offer. You’ll have less negotiating power if you have to wait for mortgage approval.

Banks and financial institutions have developed many programs especially for home buyers. When you review your needs and objectives with a lending officer, you’ll be one step closer to purchasing your new home.