Buying your first home can be overwhelming. It's an unfortunate truth that you really don't know all the things you need to know about buying a new home. Before you close, make sure to ask yourself the following five questions.
Are you really getting the best deal on your house or on your mortgage? Make sure to look at comparable homes on the market and to check with other lenders to make sure that you aren't paying any more than necessary. While it's necessary to move quickly in a seller's market, you still shouldn't go in blind.
It's a huge financial leap from renting to buying a home, so try to look at the costs that you might have forgotten. How much will utilities run every month? What about homeowner's insurance? Your actual mortgage will only be a fraction of the price that you'll be paying every month, so make sure you look for hidden costs.
While you might have fallen in love with the house, take one last look in the neighborhood to make sure that everything looks right before you close on your home. Pay special attention to thinks like foreclosures and condemnations, as these factors can drastically reduce the value of your home. Also, make sure to drive by at night - you want to know what the neighborhood is like when you'll be trying to sleep.
Does your home have enough room for everything you're bringing with you? If you're downsizing, you'll need to make some decisions about what comes with you and what won't. If you need to hold on to everything, make sure to look into nearby storage units. An average move can leave a family displaced for weeks or even months! While it may not be hard to get a cheap motel or stay at a friend’s house, all of the household stuff needs a place to live until you get properly situated. If it doesn’t seem practical to move all your furniture and boxes in all in one go, many storage facilities will allow for short-term, secure storage until the dust settles from the move.
Finally, figure out when you need to be a new home. If you are renting, you need to know when your current lease ends. If you are selling a home, you need to know what kind of closing date you will look at. Few things are more frustrating than having to find alternative accommodations while you are waiting for your closing date.
Moving into your first home can be fantastic, but you should still ask all of the questions above. The more you ask now, the better prepared you will be for the future. While there are still surprises yet to come, a little bit of research now can save you time and money after you close.
About the author: Rachael Murphey is an entrepreneur and blogger on topics of home, real estate, marketing, and personal success. She has written for ArchiLovers, Minds.com, Storage Units in Houston, Bigger Pockets, and Realty Biz News. She currently lives in Denver with her dog Charlie.