First time homebuyer

[bkuether]

1. Location, location, location.

AMEN brother. And also be sure you aren't in a potential flood zone. Don't take "it's never flooded here before" as an answer. There are ways to find out. Everyone chases the 100 year event. There is a 1000 year event as well. And it doesn't HAPPEN every 1000 years.......

Stay high and dry. Stay away from the tertiary flood plain.

 

[teawhy]

Please reconsider your 30yr fixed if you are in a position. A 15 year fixed would be my suggestion if it is do-able. You'll get many different thoughts on this though.

Get a house you'll grow into. Need two bedrooms now? Make it three. Make sure you get a flat driveway if you or someone has to work in bad weather. If you get snow days or work for home it doesn't matter. Getting home or having to leave and there being 8 inches of snow on a driveway that is a hill is no fun.

YARD YARD YARD. If you have or plan on having kids a flat back yard or a large community playground within a short distance is a great thing to have.

Beyond that make sure you budget 300-500 a month (on a 200-300k dollar home) for repairs and "things". Some months that 300 might go no where other months you'll spend 1200 on just upkeep. We've been able to cash flow all major appliances, roof replacement, HVAC replacement, finishing an unfinished area, and several other tools this way. It's important to realize your 1200-1800 dollar payment is a lot each money and to budget for repairs.

I can't help you with loan details other then from what I hear on the radio it's a sellers market with some sellers getting several offers quickly. It likely wouldn't be a bad idea to get pre approved. When we were buying (2010) folks wouldn't take the time to show us a house if we weren't pre qualified within our budget.

^^This is some great advice.

A 15yr fixed may significantly increase your monthly mortgage payment, but it will signifcantly DECREASE the amount of interest you pay over the life of the loan. If you prefer the lower montly, but don't want to get raked over the coals by interest there is a quasi-middle ground. Extra payments, if you're able. For example, make 13 mortgage payments a year rather than the standard 12. Most lenders will allow you to apply extra payments directly to the principal. Some lenders have payment plans where you will make an extra payment without really noticiting (e.g. I make 26 half payments a year with Sun Trust).

Location and features of the property are very important. Remember, you can renovate almost everything in the home, but you can not change location or major features of the pracel (i.e. size of yard or steep driveway). Don't be distracted by the glitz and glamour of "flipped" houses. New kitchens and floors are great, but you can have that done or do it yourself, and it will probably save you money.

Budgeting for repairs is an AWESOME piece of advice. Unless you are buying a new build and the builder is offering # year(s) or warranty, you will need to or want to make repairs. You stated you have a significant amout of savings for a down payment. Well, if the numbers work out, it might be beneficial to keep some of that in savings to get a jump start on your repair/reno budget.

In your OP you asked about an agent. Real agents cost you nothing, and if you get a good one, they will do a ton of leg work on your behalf. In my opinion, researching agents is almost as important as researching properties/areas. It's also important to build a good relationship with your agent. Treating them well will pay dividends and make your home search more enjoyable. In the last ten years my job has required I move, a lot. I try to find a good agent every time. I've used them to find multiple rentals, buy two homes, and sell one of them. Highly recommend.

Best of luck, and have fun!

 

[traveller]

1. Location, location, location.

1. School district, school district, school district.
2. High school zoning, high school zoning, high school zoning.
3. Neighborhood trajectory.