For New Buyers--A Typical Purchase Procedure
For new buyers, buying a house might sound like a daunting process. Do not be afraid. Yes, everybody is different so is every purchase. Do not try to oversimplify, but here is a typical process.
1, Number one is always how much you can afford.
Few people buy with cash nowadays even for people who can afford to do so. People buy house with loan, special loan called mortgage. This loan rate is the nearly the best loan you can ever get you. So why not go for it?
To understand how much you can afford, you first need to know two things:your monthly or yearly earning and your credit score.
2, what kind of house to buy?
House is a commodity with many parameters. Style, size, location, age, etc., all affect the uniqueness of a house. While every house is unique, there are some common parameters that can be generalized to the following incomplete but important parameters.
* size: This is always one the most important questions if you want to ask.
* style:cape cod, ranch, colonial, condo, townhouse, etc.
* location: city or suburb, close to school, hospital, shopping center, etc.
3, how many years do you plan to live there?
In America, people move every 5 years on average.
4, search for a house--search by yourself or work with a real estate agent
With modern technology, people can search for houses at home. Most houses are listed in the internet. You just need to find them. You can use this site to search for houses that are being sold via a real estate agent. Or you can just use google to search for-sale-by-owner (FSBO) houses.
Alternatively, you can work with a real estate professional to find a house. There are three reasons among others to use a real estate agent.
- You need somebody to represent you to buy a house.
- In the real estate industry, sellers are paying selling agent a commission. Usually this commission is share with a buying agent. So no matter if you want a buying agent or not, you do not need pay a penny. So why not go for it?
- There are many variables that affect how you choose a house. It is not a task that a new buyer can achieve on his/her own.