10 Tips for Buying a First Home

Floods during the rainy season have become commonplace . For many people, this is one good reason to find a better and safer place to live.
For others, buying your own home is a dream that motivates them to work every day. Why not? Home is a reflection of safety, security and wealth. Buying a home can be a pretty emotional process.
If you plan to buy a home in the near future, just to move to a place that is free of flooding, to fulfill your dream you have your own home, then here are 10 tips that you can see.

1. Time

Property prices rise and fall and this is influenced by various things including inventory, demand, and general economic conditions. The right time to buy a house is when property prices go down. If you find that property prices are currently high, but you expect prices to fall next year or two due to new government policies, then you might want to hold back your purchases for a moment and take more time to add savings, so you can pay more for future home advances.

2. Ask your neighbors

Nobody knows a place better than people who have lived there all their lives. Asking other homeowners in a location that you like can provide information as to what conditions are in the area. Is the area flood free? As well as the security situation in the environment. This action also helps you to build good relationships with new neighbors if you later decide to buy the house.

3. Long-term property plan

Usually, the property you buy is for your permanent residence, but have you thought of a long-term plan? If you have a plan to sell it in the future, the location of the property will have a big impact on the price assessment. Give serious consideration when choosing a location.

4. Size is important

When a spacious house becomes your dream, please keep in mind that larger sizes have a higher price impact. If faced with the choice of two prices of the same property where one is wider than the other, it would be very tempting to take a larger property, and in many cases, it would be a smart move. However, a wider property will spend more on the price of care and you will later face more expensive monthly maintenance costs as well.

5. Property rental requests

If you plan to buy a house and for rent, learn about the property rental request. Even when rental demand is high, don’t expect someone to rent your property quickly.

6. Government Ownership Program

There are several programs from the government that aim to help people to own their own homes. Research and see which one is included in your qualifications.

7. Compare home loans

Many buyers plan to take home loans at banks that they have known for a long time. But, with so many banks offering home loans, you can save a lot of money from interest payments if you take the time to compare various housing loan offers.

8. Inflation

Pay attention to inflation trends to see whether long-term housing loans (eg 30-year housing loans) are more profitable than short-term housing loans. This can make you more economical in paying interest. If the inflation is high, the number of loans that you will pay in the next year could be worth less than what is seen in the current assessment.

9. Build an Emergency Fund

Having an emergency fund becomes important when you buy a house. You will need a way to close a monthly mortgage payment if you suddenly lose the main source of income. Your emergency fund must be enough to cover a few months of mortgage payments, including household funds until you can find a new job.

10. The budget for additional funds when buying a house

You might be too focused on property prices and forget about other related funds. There are legal and tax fees that must be paid. You also have to pay an agent commission that helps you to buy the house.
Just like when making other important decisions, don’t let yourself be carried away by emotion as a first-time home buyer. Think carefully, learn everything you can, and consider all your choices, especially when arriving at a housing loan offer. A clear mind and patience will enable you to make the right decision in choosing a home and its benefits in the long run.