Topic5

Be picky, but don’t be unrealistic. There is no perfect home.

Do your homework before you start looking. Decide specifically what features you want in a
home and which are most important to you.

Get your finances in order. Review your credit report and be sure you have enough money to
cover your downpayment and your closing costs.

Don’t wait to get a loan. Talk to a lender and get prequalified for a mortgage before you start
looking.

Don’t ask too many people for opinions. It will drive you crazy. Select one or two people to
turn to if you feel you need a second opinion.

Decide when you could move. When is your lease up? Are you allowed to sublet? How tight
is the rental market in your area?

Think long-term. Are you looking for a starter house with the idea of moving up in a few
years or do you hope to stay in this home longer? This decision may dictate what type of
home you’ll buy as well as the type of mortgage terms that suit you best.

Don’t let yourself be “house poor”. If you max yourself out to buy the biggest home you can
afford, you’ll have no money left for maintenance or decoration or to save money for other
financial goals.

Don’t be naïve. Insist on a home inspection and, if possible, get a warranty from the seller to
cover defects within one year.

Get help. Consider hiring a REALTOR as a buyer’s representative. Unlike a listing agent,
whose first duty is to the seller, a buyer’s representative is working only for you. And often,
buyer’s reps are paid out of the seller’s commission payment.