Thinking of buying your first home? Below are our top five tips for first time home buyers to help prepare you for success while navigating the Denver metro area’s competitive real estate market.
- Partner with an established agent. A seasoned real estate agent can help you navigate the process, enable you a better chance to win in a competitive situation, and save you money and time. Choose an agent who knows the area and is actively doing deals in the market, which gives him/her a better understanding of the current market conditions. Here at Abode we routinely work with first time home buyers throughout the metro area and have a true passion for helping our clients navigate the home purchasing process.
- Know what you can afford. There are a variety of factors that effect your purchasing power including your income, credit score, and downpayment. Speaking with a mortgage lender and going through the pre-approval process will give you a really clear idea of what you can afford and prevent you from wasting time looking at homes that don’t fit within you budget. Sometimes a mortgage lender will approve you for more loan than you really want to use. They can also work backwards from a comfortable monthly payment and help define your optimal purchase price. A pre-approval letter from the lender will also be necessary for making your first offer.
- Create a list of non-negotiables and “would like to haves” (and be prepared to change that list) Having a clear idea of your needs versus your wants helps create parameters for your home search, but don’t automatically rule out houses that don’t check every single one of your boxes. In our experience, being flexible can lead to opportunity!
- Get out there and see houses. This is the fun part! Once you have determined a budget, as your agent, we will set you up with a dedicated MLS search and many buyers enjoy pursuing listing websites on their own. Remember that you may love something on paper and not in person (or sometimes odd quirks can be conveniently missing from listing photos) and vice versa. Drive by properties , spend time in the neighborhoods you are considering, and, depending on your comfort level, attend open houses. Meet your agent for in-person or a virtual showings to walk through properties. Actually getting out and seeing houses is the best way to start to refine your search.
- Be mentally prepared. In today’s competitive market, purchasing your first home can feel more like a marathon than a sprint. Searching for a home should be fun and exciting but be prepared to meet with some challenges and frustrations along the way, which we will help you navigate. Patience, persistence, and a positive attitude always pay off in the end!
For more information or a free initial buyer consultation, reach out via the link below!