3 Steps to Owning Your Own Home

 

So you are tired of renting and think it may be time to become a homeowner.  Congratulations!  You are probably bursting with enthusiasm and already searching the internet to find the right house.  Before going any further, take some time to follow my “3 Steps to Owning a Home.”  A small amount of time and effort invested up front will save you time and money in the long run.

      1. Team up with a group of experienced professionals.

The best time to establish a relationship with a real estate agent is before you even begin your house hunt.  A home is a huge investment and you will want to work with someone you know and trust.  Start with an experienced local Realtor in an area you would like to explore.  A good Realtor will be able to put you in touch with mortgage loan specialists, home inspectors and other professionals you will work with on the road to owning your home.

      2. Get your financial affairs in order.

Sit down with a pencil and calculator and conduct a detailed review of your financial situation.  If you have excessive credit card debt or other unsecured loans, now is a good time to see about paying down the principal. Gather copies of your recent tax returns, paystubs and bank statements.  There are many expenses associated with owning a home – mortgage payments, taxes, insurance, common area costs and homeowner association fees, as well as repair and maintenance costs.   A mortgage loan professional can help you determine just how much house you can afford.  It’s up to you to determine how much you are comfortable spending.

      3. Perform a realistic assessment of your wants and needs.

Having a clearly-defined picture of your short and long-term real estate goals will greatly enhance your chances of finding the right property.  In keeping with the principles of Stephen Covey’s “The 7 Habits of Highly Effective People”, begin with the end in mind.  What kind of home and neighborhood will best complement your lifestyle, wants and needs?   What amenities and conveniences are on your “must have” list and which ones can you live without?  Share this vision with your Realtor to enable them to help find the best house for you – one that is in synch with your financial situation, lifestyle preferences and long and short-term goals.

Buying a home can seem very complicated, but it does not have to be if you follow these 3 first steps to home ownership.  Enjoy the hunt!