Buying
How to Prepare to Buy a Home
- Talk to a Mortgage Broker or Lender
Prequalifying for a mortgage should be the first step on your homebuying to-do list. Speak with an agent who is a REALTOR®, a member of the National Association of REALTORS®, for lender and mortgage broker recommendations. Mortgage brokers don’t fund loans but offer options from several different lenders. Shop around to find the best mortgage for your situation, ask questions about anything unclear, and ensure you completely understand the home loan process.
- Be Ready to Move
This is especially true in markets with low inventory of homes for sale. It’s common for home buyers to miss out on their first choice because they can’t act quickly enough.
- Find a Trusted Partner
It’s vital to find a real estate professional who understands your goals and can guide you through the home buying process. Visit Our Agents Page and contact us today to start your Home Buying Journey!
- Make a Good Offer
In a low-inventory market, your offer is unlikely to be the only one on the table. Do what you can to ensure your offer is appealing to the seller.
- Factor Maintenance and Repair Costs into Your Budget
Even brand-new homes will require some work. Lenders and insurance companies generally suggest setting aside 1% to 4% of a home’s value for annual maintenance costs. Don’t leave yourself short and let your home deteriorate.
- Think Ahead
While it’s easy to focus on your present needs, consider your long-term exit strategy. Buyers expect to stay in their home for a median of 15 years, according to the National Association of REALTORS® 2023 Profile of Home Buyers and Sellers. Younger buyers, aged 18–44, typically expect to move within 10 years.
- Narrow Down Your Search Area
Compile a list of three or four neighborhoods where you’d like to live, considering factors such as nearby healthcare options, schools, recreational facilities, shopping, and area expansion plans.
- Develop a Wish List
Take your time to write down what you want, including a wide range of factors that matter to you—from noise levels to house layout to the number of bedrooms and bathrooms. Rank items or prioritize them by dividing them into two categories: wants and needs. The needs are features you won’t compromise on. Use this simple worksheet as your starting point.