THE BUYER’S PERSPECTIVE

Finding and purchasing the right home can be difficult especially when you're not sure who is involved. The more informed you are, the better choices you'll make, and the sooner you'll move into your new home!

To help you understand your choices, the following should give you answers to many basic questions. For in-depth answers to your specific situation, talk with a REALTOR® and ask about individual and local practices before you hire a real estate professional.

Your REALTOR® will ask you some basic questions to get to know a little more about you and the type of home you need or desire. Questions about your income and your liabilities or debts are not to delve into your personal finances, but rather to determine the amount and type of mortgage that best suits your needs.

Be honest with your REALTOR®. Don't withhold income information; it will surely surface later when you apply for a mortgage and can thwart your house hunting efforts. If you are honest with your REALTOR®, chances are they can work with you to resolve any problems that may arise. Your REALTOR® will use this information to “pre-qualify” you for a mortgage and determine how much house you can afford, based on your income-to-debt ratio and how much you have to put down on the house.

It is important as first time homebuyers to be realistic. Keep in mind homeownership, on any level, be it condominium, townhouse or single-family home, provides you with a foot in the door to the real estate market, a chance to save rental dollars and the opportunity to realize tax benefits. In addition, your first home is the launch point from which to trade up to a larger home in the future.

Make three lists - one for absolutes, another for electives and a third for frills. On the list for absolutes, put the essentials - the number of bedrooms and bathrooms, garage, basement, fireplace, and so on. Anticipate your housing needs for as long as you figure you will be living in the house.

For the electives, list the items you could use if you could afford them, and for frills put down what may be nice but not necessary.

As you compile your lists, you'll have the beginnings of an overall checklist you can use to rate the houses you'll be visiting. Comparing one house with another is difficult, so a master checklist is invaluable.