Basics To Home Buying

If you plan to invest in real estate property, say, a real hidden state, then the time to start to pursue those plans is now! This is the time where there are a lot of foreclosure properties and a handful of opportunities for investors. The time to buy your new property real estate is now, as there are banks with a large number of properties for sale in your inventory and too many owners are forced to foreclosure on their properties. There are many vendors around waiting for the right buyer to come, and who knows, maybe they are waiting. You can see, for example, Escondido homes for sale in various multiple listing services, and of course, you will definitely find good deals on houses available with reasonable prices and terms of sale.

The most important investment you have to do is probably buy a house. Finding the right home for you can be a long and difficult process, but there is no way around it.

Know your wants and needs

Before embarking on your house hunting journey, you should know what you really want to find. Sit down with pen and paper and list all the features that matter most to them, such as:

- Location (in a city, a school district or neighborhood)

- Size - how many bedrooms and bathrooms

- Parking - a 1-car garage or 2?

- Style - 2-story house or ranch style home?

- Heating - central heating and / or air conditioning?

Equally important, on a new sheet of paper from the list of all the features you absolutely do not want in a home. For example:

- High traffic area.

- High noise area (airport, train station or highway nearby)

- Maintenance - need major repairs

As you look at the houses, keep both lists in mind. Your lists may change over time as you do more looking. You'll want to add or remove features, or perhaps you'll become willing to make concessions. Realize that most likely will not find the "perfect" home. Experienced homebuyers will tell you, perfect homes are not found, perfected through hard work.

Get your credit report for

Before looking at the properties, you must get your finances in order. This is the time to review your credit report and clean it, if necessary, to maximize your credit score. Many people do not realize how important it is to check your credit report periodically to make sure it is correct. You must pay the amounts due, or negotiate a settlement price to close the debt. Get these agreements in writing, before paying any settlement. Keep all receipts of clearance items from your credit report, as it can take months to get the debt actually removed.

Research your options for buying houses

Decide what type of property you are interested in. You want a HUD property, foreclosure, real estate, or property for sale by owner?

A number of web sites list homes according to city, state or price range. Visit these websites to see photos of homes, many with virtual tours, and review the features list.

Get Pre-approved for a loan

You are now ready to find a lender and get pre-approved for the loan. Being pre-approved offers a number of advantages. It will clarify the price range you can afford. Also, once you find the home you want, you can post an offer immediately. If you have to wait for the pre-approval, someone could buy the house right out from under you.

Several special programs are often available from lenders, such as FHA or Ameri-Dream, which can save you money at closing. Ask your lender about special programs before deciding on a loan.

Finding a good real estate agent

It makes sense that the first time buyer to work closely with a real estate agent, no matter what type of property you are looking for. A real estate agent will know that your house hunting much easier. A good real estate agent is usually a good negotiator, and be able to help you with the complicated paperwork involved in placing an offer on a house or to close a deal.

It is essential that you have a real estate agent working for you as a buyer, rather than relying on the seller's agent for the home you want to buy. The latter can involve a conflict of interest, that usually works against you.

To select a real estate agent, you should check with your friends and neighbors for recommendations. Find an agent you feel comfortable and who is knowledgeable about the area you hope to buy in.

These are just the basics of home buying. You will find many details you need to master as they move through the checkout process, but with these basics behind will be an advantage.