Buying your first home requires you to navigate around the land mines that often cause first-time home buyers problems. One of the biggest mistakes you can make is trying to do everything on your own.
By putting your confidence in industry experts — such as a real estate agent and a NYC real estate attorney that focuses on closings for buyers and sellers — you can save time and money and avoid issues that will hurt your finances in the long run.
1. Use a Realtor
Even if the current homeowner is doing a for-sale-by-owner business deal, make sure you have a competent realtor helping you with your side of the transaction. You will be surprised at just how complicated the purchase of a home is with respect to legalities.
Additionally, a realtor will have a much better idea of the value of a property. Assessing property value is generally beyond the capacity of most first-time home buyers.
2. Shop for Lending Institutions
Unless you will be paying cash for your first home, you need to spend as much time shopping for lending institutions as you spend looking for the right home. Even a half-of-a-percent difference in interest rates can save you thousands of dollars over the life of a loan.
Make certain you find a lending institution that understands your financial situation and helps set you up for success.
3. Hire a Competent Law Firm for the Closing
Once you’ve secured a loan and found the home you wish to buy, you will need to close on the home. Closing is extremely complex, and it is during the closing that errors are made. Errors during closing can negatively affect your financial situation for years to come.
By hiring a competent real estate attorney, you make certain there are no mistakes and no elements of the contract that you do not understand.
4. Be Patient
During every step of the home-buying process, remain patient. Do not rush when searching for a realtor, lending institution or real estate attorney. Finding the right people to protect your interests is the most critical component of buying your first home.