10 Tips for First-Time Homebuyers

1. Be picky, but don’t be unrealistic. There is no perfect home.
2. Do your homework before you start looking. Decide specifically what features you
want in a home and which are most important to you.
3. Get your finances in order. Review your credit report and be sure you have enough
money to cover your downpayment and your closing costs.
4. Don’t wait to get a loan. Talk to a lender and get prequalified for a mortgage before you
start looking.
5. 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.
6. Decide when you could move. When is your lease up? Are you allowed to sublet? How
tight is the rental market in your area?
7. 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.
8. 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.
9. Don’t be naïve. Insist on a home inspection and, if possible, get a warranty from the
seller to cover defects within one year.
10. 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.