Things you wish you knew before buying a home

There are always things that you wish you had done differently. As they say, ” hindsight is 20/20/ But, when it comes to making one of the biggest purchases in your life, as a home buyer, you are better off learning as much as you can from the experiences of others. Read on to see things other home owners wish they knew before purchasing their homes.

• Shop for a mortgage – Not all loans or lenders are equal. – When you apply for a loan you will be given a loan estimate. It is always a good idea to find a lender that you can trust. Shop around, ask others, and look at the reviews. If you apply to more than one lender, I suggest taking a look at the loan estimates side by side and comparing costs. Every lender will have slightly different estimates based on a variety of factors, including the loan origination fees and other lender charges.

• Inspections are worth it – Better to find out now rather than later: it’s no fun to move into a home only to discover that you have new and unexpected cost. Sure, inspections can range anywhere from $500-$1,000 in up front costs. However, buying a home with costly issues in some of the major systems can potentially cost you even more. Even if you find that your home inspection only reveals relatively small issues, it is always a better idea to know exactly what you are buying.

• Your loan may be sold – Loans are often sold after closing – If your loan is sold to another company to service after you purchase the home then you will be sending payments to a new company. Pay attention to your payments if this happens and make sure that they remain the same. You will be looking to make sure that they do not add additional insurance onto your escrow at this point.

• You may be eligible for reductions in property tax – Check with the county: The property apprasisers’ website will have information on the tax exemptions you may be eligible for. Huge savings can be found by just applying online. Just make sure that you apply before March 1st for tax exemptions to take effect for the following year.

• RENO Loans: not as hard as you think and a great way to build up equity. There are renovation loan options available for Conventional, VA, and FHA loans. This can also be a great option for a home buyer with a tight budget and little to choose from.

• Zillow and Realtor.com, get nearly all their information from realtors who enter it into a database. – This means Realtors can often send you the same information before it hits the public sites. It is one of the countless benefits to using a Realtor wen buying a home!

• Budget for Inspections and closing costs beforehand – Inspections can range from $500 – $1000 depending upon the property. The closing costs can range from 3-5% of the purchase price. Speak to your Realtor and your lender to calculate the total out of pocket expense for you to purchase a home.

• You probably won’t have a mortgage payment for the first month. – This can make for an easier transition from renting. This also means that you can have a breather after signing your bug check at closing!