Owning your first home is an exciting experience because it is every one’s dream. It gives you a sense of fulfilment for having worked for years and now, your ultimate dream is finally in your hands.
But before you entrust the hard-earned money, here are some of the tips you might want to consider in buying your first home:
- KNOW YOUR NEEDS
Creating your own checklist will make preparation a lot easier. Like, where do you want to live? What are you looking for in a home? Does your lifestyle suit the community where your property is located?
Think about what you want to own – a condominium unit or a townhouse? What house features do you need? Do you want your children to have separate rooms? How many bathrooms do you like?
There are a lot of choices available but knowing what you need will narrow down your options.
2. KNOW YOUR BUDGET
Determining how much you will be able to afford paying in a monthly basis is an important decision you can make. This helps you in deciding what type of property, price range and the location of your dream home.
Do you want to have the biggest house in the community or a penthouse unit maybe?
Know the amount you can set aside comfortably. And save up also for other costs like association or condo dues, utilities, maintenance, real property taxes
3. STUDY THE MARKET
Once you have identified your need and budget, it’s time to do some research. With the present government’s projects, you can easily identify where you want to live.
Does it have an accessible transportation to and from your work? Is the property near establishments like schools, hospitals and commercial areas?
You can also use applications like the Project NOAH where you can check if the property is flood-free and not near any fault line. We know a client did this before buying a townhouse.
4. SECURE FINANCING
There are buyers who applied for a pre-approved home loan first so they will know how much equity they can pay.
As a rule of thumb, 20% of the property’s price is your equity and the 80% balance you can get financing through banks or Pag-Ibig (check if your developer or seller accepts this). There are sites that do comparative study on banks to help you choose the one who offers competitive rates.
Also, your credit score will affect the approval of your financing. Be sure to have no delinquency in any financial obligation you may have.
5. LOOK FOR A LICENSED BROKER
First-time homebuyers may feel nervous a bit but by seeking advice from professional real estate brokers or registered salesperson, will help your purchase an easy one.
Just tell them your concern and they will discuss everything you need to know. Be sure to only transact with those who are licensed with Professional Regulation Commission (PRC).
Are you ready to buy your first property? Contact Us and our licensed brokers will be there to help you.