Your first home is like a dream come true. You have saved up everything you could so as to buy your dream home. While making this big decision is an exciting process, leaping into a home is equally scary and stressful. It is a big decision that you are making and it is easy to get engaged in the excitement of moving into a new home.
However, there are some questions you need to answer before you buy your first home.
What is the budget?
One of the top first time home buyer questions is asking yourself if you have the budget and what is your budget. Take a logical look at your personal finances and assess the income and expenses. You need to consider your credit rating, debt and your emergency funds before you decide on the amount you want to spend. You might be tempted to go overboard with your first home but you need to be very realistic at this stage.
Does the mortgage include insurance and taxes?
You need to keep in mind that mortgage is not the single cost you will have to bear when purchasing a home. You will also be responsible for an insurance policy and for the payment of taxes. Sometimes taxes and insurance policy will be a part of the mortgage but many times they are not. If you do not ask this question now, you will be shocked when you have to pay the property taxes at a later stage. Be sure to ask about the taxes to save yourself from shocks.
What is included in the purchase?
A lot of homeowners make a mistake of assuming that everything they see in the home is what they will get when they buy. This includes appliances and fixtures. There are many sellers who take away everything they can which is why you need to ask the agent to clarify everything that is included and excluded in the home purchase.
Who will schedule the home inspections?
The question here is pest inspection. It is a crucial aspect of home buying process and it will help ensure that the property is in the best condition before you put your hard-earned money in it. There are many agents who will arrange an inspection for you but not all agents cover these services. Check with the agent about it before you make your buying decision.
What additional expenses should you expect?
When you purchase a home, there will be upfront costs you have to incur. It includes appliances, furniture, moving costs, home warranty, closing fees, pest inspection and more. All these expenses can add up to a significant amount, hence, do not forget to keep these costs in your budget.
Go ahead with the home buying process only when you have answers to all the questions mentioned here. After all, you do not want to fall into cracks!