If you’re under the age of thirty and shopping for a new home, there’s a good chance you’re new to the buying process. To help you make an informed decision, we’ve created a list of four key things to keep in mind as you shop for your next home.
1. A home that you can envision living in for the next five-to-ten years.
Most experts agree that, in order to see some return on the investment you make when you buy a home, you should plan to stay in the home you purchase for at least five to seven years. With that in mind, ask yourself what the future looks like for you while you shop. You don’t have to plan for every single possibility when purchasing, but leave room for a life change or two when choosing your home. With a little planning, you shouldn’t outgrow your home before you’re ready, or before you’re able to see a return on your investment.
2. A home that is well maintained by the previous owners.
Since purchasing new construction can be more expensive than straightforward purchases, many young and first-time buyers purchase previously owned homes; therefore, it’s important to assure the condition of the home before committing. While buying a fixer-upper can be appealing to many buyers, since most buyers under the age of 30 are purchasing their first home, it’s recommended that fixer-uppers are saved for later in life. The reason for this is the costs of renovating a home can quickly balloon, and even if you finance the repairs through a special mortgage that accommodates renovations, you may find yourself having to pay for many of the fixes out of pocket. Rather than risk further debt, we recommend that you look for a house that has been cared for meticulously by its past owners. You can get a better idea as to the condition of the house you’re considering by getting a home inspection for your new home. In some cases, you can opt-out of having a home inspection performed, but it’s generally agreed upon by real estate experts that a home inspection is good to have. The detail with which an inspector reviews the home can be described as meticulous, so following the inspection, you will know every nook and cranny of the home you’d like to buy.
3. A home that is close in proximity to the things that are important to you, like family members or your workplace.
Perhaps you’d like to be near your parents, for both your peace of mind and theirs. Maybe you want to be close to the center of your city in order to take full and frequent advantage of the nightlife. Whatever it may be, choosing a home that has close proximity to what is important to you is a common desire for buyers of every age. When you begin your search, your real estate agent will ask you for a general idea of where you’d like to live in your town or city. If there’s a particular location you’d like to be near, you can tell him or her you’d like to live within a certain number of miles of “x”. They will then compile a set of listings that meets those criteria as well as your budget.
4. A home that is affordable.
While almost everyone has a version of their dream house in mind when they’re shopping for a new home, it’s important to measure your wish list against what you can easily afford. Depending on how much you are able to spend when you purchase your home, certain things on your wish list may need to fall by the wayside for now. Not sure how much you can afford to spend on a home? No need to worry; at Southern Trust Mortgage, we offer something called Priority Approval. Unlike pre-qualification letters from other lenders, Priority Approval is a true credit approval that does not require a property to determine your potential loan amount. After receiving a Priority Approval, you can take your approval letter to your real estate agent, who can then search for homes strictly within that amount and with the reassurance that you qualify for a mortgage from a reliable lender.
We know the loan process can be intimidating to new buyers, but rest assured our team of loan experts at Southern Trust Mortgage is on hand always, ready to assist you in making the leap into homeownership. Contact us today so we can help make home happen for you.