Sunday 1 January 2012

Some Helpful Home Buying Tips

By Rick Baugh


There are many home buying tips that buyers should be aware of. Some of them are more helpful then others but in the end the buyer will ultimately have to decide which ones they want to follow. When it comes to tips remember that they are written for general audience and some tips may be more relevant to your situation then others.

Take a look at your current credit situation before beginning the process of searching for a house. A few months prior to the search you should get your credit report from all three agencies. Go over these reports individually carefully and take care of any problems right away.

Once you know your credit score its time to take a look at your finances clearly. Many would be buyers want to upgrade or buy a bigger house but they just cant afford it. Find out what you kind of loan payments you can afford. This will give a more realistic house price that you and your family can afford. Experts suggest that you pay no more then 2 and a half times your current yearly salary. When in doubt search the web for an online house buyers calculator these are free and can give you a more personal assessment of what kind of price range you should be looking at.

The down payment has always been the point of contention for many. The belief held by many is they need at least 20 percent cash to put down for their new house. This number has been dramatically over exaggerated and instead for those that qualify this down payment can be as low as 5 percent. The best way to find out is the exhaust all available loan agencies at your disposal and compare them before making a final decision.

Many want to begin searching for a house right away, instead they should consider delaying until they have gotten pre-approved for a mortgage. A bank will pre approve you after they have looked at your total credit history and current financial status. Waiting for the bank to finish this process will allow you to be ready to make a firm offer when you find that house you want.

You should strongly consider hiring your own house inspector before making an offer. Banks will indeed require a house inspection be done but this is to ensure the value of the home. Buyers should hire someone that is knowledgeable about the are where the house is. This inspector can find potential issue that they may face in the future.

The right home buying tips can save you time and money in your house search. Wait for the bank to pre - approve you before you start your search for a new house. You should also secure your own professional home inspector to highlight any potential issues the home may face in the future.




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