Practical Tips On How To Buy A First Home Without Real Estate Agent.

Taking that first step to finally own the house of your dreams can be filled with worries and anxiety.

Regardless of how long you have been thinking of buying a new home, today is always a good time to start looking, even without the help of a realtor. Yes, it is possible to purchase a home even without professional help. There is more work to be done but there is also potential for tremendous savings. Learn the right steps on how to buy a first home without real estate agent. Here is a practical guide new buyers can use:

Make a plan.


Never make the plunge unless you are ready. A house is one of the biggest investments anyone will make in his or her life, so careful consideration must be placed on what to buy, where, when, how and whether or not to buy at all. Think of factors that can influence your buying decisions such as the length of time you intend to stay in the house, the expense you will have to shoulder for its maintenance and your source of funding.

Organize your finances.


The next step is getting your finances in the right order. Do you have a good credit score? Can you afford to make the installment? Can you afford the monthly payments? Do you have money to cover for real estate fees and charges? Do you have the financial documents to support a loan?

Set your price range.


Many first time home buyers fail to determine a real working budget when buying a home. This is critical in ensuring that you are able to make the payments later and still be able to enjoy a good quality of life during your payment period.

To determine how much loan you can afford, see a creditor or mortgage lender. The figure you will be given is the highest loan you will be allowed to take out as a borrower. Use this as the basis for setting the price range of the home you want to buy.

As an example, let us say you are pre-qualified for a loan of as much as $250,000. This amount should be used as the reference figure for the loan you take out and should not be the exact amount you will borrow. The reason is that going for the maximum loan limit could strain your finances and leave you with a limited spending budget. Instead, look for house that carries a price tag of at least 10% less than the maximum loan amount. That way you will have more money to spend on other necessities.

Look for a good location.


Once you are pre-qualified for a loan, start your search. Obviously, realtors will be able to offer you an extensive list of properties in the area of your choice but that does not mean you cannot find a house on your own. Scout for potential properties in your ideal neighborhood. Talk to homeowners if they are present, check ‘For Sale’ signs and call the contact numbers, search for available properties on ads, local papers and online sites. Try to compare similar properties to help you assess their value. Once you have made your choices, start calling to schedule a viewing.

Look before you leap.


Not every house will be a dream home in the sense that everything will be perfect. With a sharp eye, you will be able to see this once you start viewing properties personally. If you are buying a property that is a few years old, there might be certain issues that need to be taken care of, both for the short term and the long term. Older houses, for example, often have issues regarding plumbing, fixtures and roofing which may have to be replaced or fixed. Unless you have the resources to perform extensive repairs, do not sign up for a real property that could cost you more than you can afford in the future.

Talk to a lawyer.


Unless you have a lot of experience buying homes or are dealing with a knowledgeable and honest seller, it is a good idea to ask a lawyer for assistance regarding documents. Transactions should not only be fair to both parties but any agreement involving real estate should comply with legal laws, regulations and standards.

Can you really do it without an agent’s assistance?


Without the help of a professional, you are on your own. To protect yourself and your investment, read everything you need to know about buying real property particularly in the area where you live. Know local laws, regulations and practices and do not be afraid to ask other people for advice. The more information you have, the better you will be at making an informed decision regarding your first home.

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