The home buying process is thrilling, but it can also be nerve-wracking. It’s not always easy to know what to expect, especially if it’s your first time purchasing a home. These home buying tips will get you on the right track when you’re ready to think about buying a home in Austin.
5 Steps to getting your dream home
- Get organized. Mortgage lenders have varying requirements when it comes to your financial documents and tax records. Even if you don’t end up needing every page, it’s better to have it and not need it than need it and not have it. Rather than scouring every drawer and file in your house at the last minute, stay organized and make sure you have each of the following:
- W-2 forms from the previous two years (if you collect a paycheck)
- Profit and loss statements or 1099 forms (if you own a business),
- Recent paycheck stubs
- Your last two federal tax returns and records of all your assets and investments. (real estate and automobile titles, bank statements, mutual fund statements and brokerage statements)
- A complete list of your debts, including loans, credit cards and child support payments.
- Don’t time the market. Many inexperienced home buyers try to perfectly time the market. They want the best possible deal, only to discover they’ve waited too long. So, don’t obsess over trying to time the market. The best moment to buy a home is whenever you find the right one and can afford it.
- Get pre-approved for a loan. Being pre-approved for a loan will save you a lot of aggravation by letting you know exactly which homes are within your budget. Understand the difference between “pre-qualified” and “pre-approved”. As HGTV pointed out, anyone can be pre-qualified for a loan. When you get pre-approved, a lender lets you know how much you can afford. They’ll also let you know how much the organization will lend you after looking over your finances.
- Know what you want. The perfect house that has everything you ever wanted may or may not exist. It’s important to know what you’re looking for. Make a checklist of home features that are absolutely essential, and another of features you want but can live without. A copy of your checklist is a handy home buying guide to take with you for reference any time you look at a new home. According to Sam Matteo of Daily Finance, one of the major advantages to buying a new home is that you get to make decisions about certain details.
- Stalk the neighborhood .Remember, you’re not just getting a new home – you’re also getting a new neighborhood. Before you buy a home, it’s important to find out the lay of the land by exploring the area. Try out the commute from your new home to work to see what it’s like. Figure out the locations of your favorite places you’ll be frequenting. Important places include the nearest gas station, school, grocery store and hospital.
Buying a house is an exciting move. Doing it right will ensure that you enjoy the benefits of a warm home and sound finances for years to come. Once you understand what’s in store for you, the bridge between imagining your dream home and living in it might not seem so difficult to cross. Contact MyMileStone.com for more information about new homes for sale in the Austin, Texas, area.