Buying a house is normally quite stressful, regardless of whether you have a mountain of experience to rely on or it is your first time doing it. This might turn out to be the largest financial investment in your life, and therefore comes with a lot of complications and bears hard on your emotions; as it should. The deal can be brought to an abrupt end due to one simple mistake, even though everything was seemingly going smoothly, initially.
Max Funding’s second mortgage loan advisor Shane Perry says, “The terms of your mortgage may be affected by an appraisal that is found to be below the price the house is being sold at, hidden issues may be discovered by a home inspection, a higher offer may be made by another interested buyer or at the last minute, your financing might not materialise. As you can see, there is a lot that could go wrong. That is why professional advice makes a big difference in your process of approach in buying a house. It will be efficient and smoother.”
According to the UK Office for National Statistics, as of 2019, 64.5% of households in the UK owned their own homes outright or with a mortgage. The average weekly cost of housing for those who are renting was £137, while for those with a mortgage, it was £232.
When purchasing a home, you can use the following tips to reduce stress:
1. Define Your Needs
You risk wasting a lot of time looking at houses that you do not want if you do not have a clear idea of your needs as real estate agents aren’t mind readers. An agent can be quite a valuable asset and will likely be able to point you in the right direction and help you find the right house for you and your family if you can specify exactly what you need.
- Define your needs by answering the following questions:
- How many levels do you want – multi or single level?
- How many bathrooms and bedrooms?
- How about the floor plan – how practical should it be?
- Which exterior appeals to you – vinyl, brick, or wood?
- Should it be close to any places of worship?
- Do neighbourhood noise levels matter to you?
- How much space, in terms of square footage, are you looking for?
- How far should it be from your workplace?
- Are you looking for a single-family home, townhouse, or condo?
- What about the neighbourhood – do you have any preferences?
- Do you want to be close to major highways and shopping centres?
- How old should the house be?
- Are you concerned about the local school districts?
- How much maintenance would you like to put into the property?
2. Get Pre-Approved For A Mortgage
One of the first things you should do when buying a home is to get pre-approved for a mortgage. This will give you an idea of how much money you’ll be able to borrow and will make the whole process go more smoothly.
3. Be Logical
Exercise a lot of caution, even after finding what you might consider to be your perfect fit. However, what you might have thought was perfect may actually turn out to be something else. Therefore, it is important that you avoid relying on your heart, instead of focusing on what your head tells you.
Also, find a professional who can give you an unbiased assessment of the property, and go in for a second viewing with them. You will be able to make a more sensible decision after you have a closer view of the house, where hidden issues if they exist, are more likely to be discovered. After all, you definitely don’t want to end up with a house that is constantly in need of repairs/improvements.
4. Heed Your Real Estate Agent’s Advice
Your real estate agent is likely to be more knowledgeable than you unless you have worked in the real estate industry, even if you have spent hours reading on everything you can find in the house-buying process. It is smart for you to listen to what they have to say, especially considering the fact that you hired them to assist you in finding the right house.
Allow the agent to guide you to the end, after giving them a clear vision of where you need to go!
You can save yourself a lot of stress and money if you listen to your agent when they recommend that you add to the offer various contingencies – conditions that must be met before the sale is concluded – like the house satisfies a home inspection or the seller conducts specific repairs.
Your Real Estate Agent Is On Your Side
To avoid messing up the deal as a result of offending the seller, your agent may also advise you against making a lowball offer. You should trust your agent’s knowledge and experience in the industry instead of ignoring or working against them. Realtors have nothing to gain by sabotaging the deal you are working on as they are only paid when the sale is concluded.
5. Ensure That Your Savings Are Sufficient
Before taking the first step toward buying a house, make sure that you have an idea of all the costs involved. This is normally the largest investment that most people will ever make in their lives. You should be prepared to shell out some cash for other expenses, including home inspection costs, home appraisal costs, earnest money deposits, and closing costs among others.
Ready To Buy Your Dream Home?
Instead of losing sleep due to stress, buying a home should be exciting, albeit with a hint of anxiety. Proper preparation will help you minimise stress. Take the time to do some research, instead of rushing through the process blindly. Take all the time you need to make sure that you are making a responsible decision as you will have to live in the house you choose, and its financial implications for years to come!