Prepare a Plan
Buying a home ranks as one of the biggest personal investments one can make. Being organized and in control will contribute significantly to getting the best home deal possible with the least amount of stress. It’s important to know the steps required to successfully achieve your housing goal and to build a plan of action that gets you there.
Before you can formulate plan of action, take the time to lay the groundwork for your decision-making process.
Ask yourself how much you can afford to pay for a home. If you’re not sure on the price range, find a lender and get pre-approved. Pre-approval will give you a rough idea what you can afford, allowing you to look for homes in your price range. Getting pre-approved also helps you to alleviate some of the anxieties that come with home buying. You know exactly what you qualify for and at what rate, you know how large your monthly mortgage payments will be, and you know how much you will have for a down payment. Once you are pre-approved, you avoid the frustration of finding homes that you think are perfect, but are not in your price range.
Second, ask yourself where you want to live and what the best location for you and/or your family is. Things to consider:
Remember, you usually pay for your location, so be sure to balance how much the perfect neighborhood means to you with how much more house you can get for your investment in a less-perfect area.