If you're a First-Time Home Buyer there is a process you should follow in order to be "successful" in the Home Buying journey. Too many times we will see a FTHB (First-Time Home Buyer) go through the process outside of the proper order and end up frustrated and hurt because it ends without them procurring a home. 

Here are the 5 Questions You Need to Answer Before Entering The Home Buying Proces

  1. How Much Can You Really Afford? A good rule to follow is: 25%-30% of your "net income" per month is your safe zone, and what you can afford as your payment for housing costs. Not your GROSS pay...but your NET pay (Net Pay is what you make AFTER TAXES have been taken out). Once you know what you can afford per month, then you are ready to speak with a Mortgage Broker or Mortgage Lender. Remember, you want to be conservative so that if one of you were to lose your job, you could still afford to keep your home.
  2. What are the COSTS involved Outside of the Loan? It is important to go over with your Lender ALL the costs associated with both the closing of your loan, monthly costs of your loan and the maintenance of your home. All these costs add in to what your home will cost on a monthly/annually basis.  Make sure to include taxes, homeowers association dues, utilities, homeowners insurance and mortgage insurance. Other things to consider are: If you're buying a "fixer upper" you'll need contractor bids, and you should always have a reserve or emergency fund of at least 6 months of your current salaries put into a savings account and built into your costs.
  3. Will this house be satisfactory for my Long-Term Goals? Although purchasing a home now is based on your current financial condition, and should be, you also need to consider if this home will fit your needs down the road. Are you planning on having children, or more children? Are the schools sufficient for your schooling needs or will you have to fund a private school education? If you have to go the private school route, you may want to spend money on a higher priced home to forego having to pay for a private school education. These are all real discussions that should take place on the front end of your home purchase to save major headaches and dollars spent (potentially lost) down the road.
  4. What Do I NEED from the Neighborhood I'm pursuing? This is such an important question! Do you need a neighborhood that has a grocery store, gym, great restaurants, etc within walking distance of your home? Or are you looking for more of a suburban neighborhood that has great parks and schools and you'll drive anywhere else you'll need to go? Are you looking for a large urban feel or quaint small town atmosphere? Get out your pen and paper and make a Wish List of everything that's important to you in the perfect neighborhood.
  5. Am I READY TO BECOME A HOMEOWNER? The biggest question of them all. When you are a homeowner, you need to reconcile with the fact that a lot of your time and money will go into your home! Make sure you are ready, and buy responsibly. If you do, and you do the proper research, being a homeowner will live up to every expectation and dream you have for it!

 When you HAVE answered these questions, or if you need help or direction in answering them, but know you want to become a VENICE FL HOMEOWNER, give us a call and we'll partner with you to help you through each and every step of the process to ensure you make the best decisions for your situation.

To find more tools and tips about becoming a homeowner in Venice, visit our website at: EXPERIENCEVENICE.COM

Reference: RISMedia March 2015