The wedding was grand. Everyone had a great time. Now comes the hard part. You’re here and you’re ready to start a whole new life. Part of the process of beginning life together means thinking about where to live. For many newlyweds, the answer is a house of their own. If you are thinking about buying a house after your wedding, there are a few considerations to keep in mind first.
Ideally, both partners should be on the same page. It’s a good idea to sit down and think about the kind of house you want. If your husband wants a ranch but you prefer a colonial, there are ways to compromise that will work for you both. One of the most important aspects of buying a new home is paying for it. Now is also the time to sit down and have a thoughtful discussion about financial matters. You’ll want to get your finances in order before you do anything else. Each partner should be prepared to present detailed information such as their work history and purchases to a bank. When you work together carefully, it’s easier than ever to find the right house to buy when you get back from the honeymoon.
Thinking About a Budget
One of the first things you’ll want to do is create a budget. A good budget should include how much you can spend on the basic home. Keep in mind you’ll also need to pay property taxes and utilities. You will also need to get home repairs done. Even a newer home may need fixing up several times a year. It’s best to avoid spending too much on your home. A good rule of thumb is no more than one-third of your income should be devoted to the costs of owning a home. Any more and you might not have enough for all those little extras such as a break now and then or enough in retirement savings.
Credit is Imperative
Most buyers aren’t going to be able to afford to buy a house on their own. This is where it is imperative to understand the home buying process. Chances are you’re going to need to work with a bank and get a mortgage. A bank is going to look at many things in your life and the life of your partner before they release any funds. There are many ways they can do that including your previous work history and the amount of money you’ve saved for a down payment. Many banks have a very good look at your credit. If you are going to buy a home, you need to know all about credit. A good credit score is hugely important. Buyers with good credit are deemed more trustworthy and therefore given a lower mortgage rate.
How to Get Good Credit
Credit scores are a range. Once you’ve decided to buy a home, you’ll want to find out your credit score and that of your partner. A bank might choose to look at one or both of your credit scores. Your scores can be influenced by many factors. If you are young and just starting out, you might not have any credit history at all. If you’ve made minor mistakes in the past, this can impair your ability to get good credit going forward. However, keep in mind it is fixable. If you are planning to get married, you can build up a good credit score. Buy things on credit and pay them off on time. Banks will notice and reward you for it.
Fixing Bad Credit
If you have poor credit or a partner does, you can fix that. Sometimes the bank’s made a mistake. Contact them directly and get it corrected. In other instances, you might get a second job and earn money to pay down your bills before you buy a home. Careful investigation is your best option before you start touring open houses.
That Down Payment
A down payment is essential. Keep in mind that you don’t put enough down, you’ll be required to pay PMI or private mortgage insurance. This is insurance that is designed to protect the bank, not you. You have to pay to protect the lender each month in the event you default on the loan. If you can provide at least twenty percent of the purchase price, you can avoid paying these fees. That leaves you with more money to buy the home you like best.
The Right Realtor
If you are just starting out, it’s best to work with an expert in the field of home buying. Going it on your own often means missing out on homes for sale that are only available by appointment with an agent. It also means having to negotiate on your own and come up with an offer as well as having to go through the entire home buying process without someone to assist you at every turn. A real estate agent can provide many services. A good real estate agent is someone who has studied the local market intensely.
What Makes a Good Agent
While there are many real estate agents in any given market, not all agents are alike. When you’re busy planning that wedding, you want someone there who can manage all the little house hunting details for you. This leaves you free to get the wedding in place. If you’re looking for a good agent, there are a few things you’ll want to keep in mind as you search.
In general, a really good agent is someone who is an expert at communicating with you. They are people who make you feel at ease the second you speak with them. The agent should also know the local markets cold. Feel free to ask questions. The right agent should have a detailed list of previous properties they’ve sold and a list of happy, satisfied customers. The agent should also be able to speak with you about your concerns. For example, if you are leasing, they should be able to work within that time frame to get you into a new house by the time the lease is up. A good agent should also be able to indicate how they’ll negotiate on your behalf and what you can probably find in the budget you have in mind. In short, this is the person who can act as your eyes and ears during the home buying process. If you can trust them, you’re going to benefit from the right home in hand. If you happen to be looking in the Phoenix, AZ market The Kay-Grant Group can certainly give you a hand.
The Home Inspection
Once you’ve found the right home and put in an offer, you’ll want to have the home inspected. A good home inspector can point out all that’s right with the property as well as what’s in need of improvement. With their help, you can decide if this is the home you want or you’d rather walk away before you get it too deeply. Don’t panic if they offer a list of details that need minor repairs. You can get those done. If, however, the list is long, you might look elsewhere unless you’re an expert at home maintenance.
Buying a home is a process. It can take some time. If you’re newly married, you’ll want to get that process done as quickly as possible so you can settle in. Now is the time to make that move and get on with your wonderful life.