5 Tips for Newlyweds Buying your 1st House

5 Tips for Newlyweds Buying your 1st House

5 Tips for Newlyweds Buying your 1st House

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Life is exciting, you’ve just tied the knot and now are combining households. You need to decide what to keep, what to throw away, and how and where you want to live. These 5 tips will guide you through the home buying process.

  1. Be Realistic-  You aren’t moving into your parents’ home that they saved a lifetime to buy or build. You are moving into your 1st starter home. Prioritize your needs and wants.  Make a list with must haves and likes, the areas you like, size of home you need now combined with room to grow for potential children.  
  2. S-CocktailChecklistYour Credit Report- When you marry, your credit reports also join together. Make sure you both check your credit reports, have an open discussion, and work together to fix any blemishes before you start house hunting. Work with your creditors to raise your credit score. Planning for the future? There are 7 simple ways to raise your credit score.
  3. Shop your Lender- Do your research with different mortgage companies, banks, and credit unions. Ask about rates, 1st time homebuyers tax credits, incentives, and closing costs. Check the lenders reviews and sit down with them for a face to face meeting. This is a big step and you want to know with whom you are working and how the loan program works. Be wary of internet based lenders with possible hidden fees. Before you start looking for your first home, get pre-approved. A pre-approval lets you know how much home you can afford and allows you to lock in the lowest interest rate.
  4. 4. Don’t tie the knot and then plan to swing the hammer. In other words, don’t buy a complete “fixer-upper”. Fixing a house together puts a strain on both your marriage and finances. The only reality on HGTV are the surprises that homeowners face when remodeling and fixing up a house. HGTV never tells you how and where the homeowners come up with all the extra money to remedy the surprises. A “fixer upper” is costly and can deplete both your finances and energy when you should be focusing on building a life together. Homeowners need to budget for taxes, insurance, maintenance, and the occasional emergency such as the water heater or furnace failing.
  5. Hire a Real Estate Agent- Homebuyers need professional guidance when making big decisions. Emotions and excitement may get in the way blinding you to possible downfalls in different homes and neighborhoods. A professional real estate agent that works with first time Buyers will guide you as they would their children, helping you buy the best home for your money while negotiating the best dollar amount for your purchase.

It’s Not “Where’s the Beef?” It’s Where Do I Put the Beef?

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We all want to live in our dream home. That dream home may differ depending on our budget, needs, and wants. But one thing is for certain when building your dream home is you will forget something. It is inevitable.

We work very hard at Midwest Design Homes and Jon Huss Custom Homes to ask you questions so that everything you want and need gets included. You may even  tire of our questions but that is what sets us apart. When we start to price out your next dream home, we ask you if you want things included in the bid or if you want them as an option. Having items bid as an option lets you know exactly how much they cost and allows you to decide whether you want to include them or not.

But, here comes the problem. Maybe you option the landscaping and appliances, and don’t include them into the bid. But what happens when you are ready to move in to your new home? If you haven’t budgeted for those items or included them back into the bid, you may have a problem. Now, you’ve got the beef, but have nowhere to put it. We really do try to help you think through the process before you get your loan. If you plan on buying new appliances and do not have tons of expendable cash on hand after the building is complete , we advise you put those items int your bid. Likewise, a new home does not include window treatments or landscaping. Given today’s low interest rates, adding money to you mortgage to cover the cost of appliances, landscaping, and window treatments is only going to cost you a few more dollars a month.

To recap, put the beef in your new refrigerator, enjoy the new yard, and close the shades for privacy in your new  dream home; purchased with the money that you included in your new home budget or added to the mortgage.