6 things you’ll experience when buying a home for the first time
MANILA, Philippines – If you’re young and earning, owning a home is most probably one of your greatest aspirations. A home, however, is a major purchase that anyone shouldn’t take for granted.
As a first-time home buyer, you’ll need to thoroughly prepare your mind and finances for the process. And to help you with that, here are some things that you are most likely to experience when buying a home for the first time and also a few hints on how to prepare for them.
1. You’ll get excited.
Skimming various brochures from different real estate developers and thrilling yourself with the thought of actually living in one of those pretty spaces you see get you excited to purchase a home as soon as possible.
While the feeling is normal, you need to be careful not to rush every decision you’ll make during the process. You don’t want to miss any important detail, especially costs. Don’t allow yourself to make emotional decisions.
2. You’ll be deceived.
A lot of communities are rising these days and many of these look very promising and attractive. When you add to that the competitive prices they offer, you’d want nothing but to purchase a home immediately. But don’t easily take their advertising as it is. That as-low-as price you see on the ads could just be the tip of the iceberg.
If a particular house or condominium catches your eye, ask about the price. If you think the price is too low, ask why it is so. You can also check the payment scheme to see whether the home you’re looking to buy is something that you can really afford.
3. You’ll be overwhelmed by the other costs.
It’s but natural to get shocked by the several costs involved in buying a home if it’s your first time. But it pays to learn about them as early as possible so you can ready your finances ahead of time.
The costs of buying a home include legal fees, taxes, housing loan interest and homeowners association dues, among others. These go on top of a house’s purchasing price. You’ll also have to factor in the maintenance costs of owning the property.
4. You’ll realize you should’ve saved up earlier.
The down payment can be daunting and it’s not easy to come up with such a big amount of money. As you shop for houses and condominiums, you’ll find yourself realizing that financial preparation is essential. While you can negotiate as to when you can turn in the full amount for the down payment, it is still wise to prepare for it ahead of time.
As soon as you’ve made the decision to buy your first home, go ahead and proceed to saving money. While it will demand sacrifices, the effort will all be worth it, especially if you start saving up early.
5. The contract might baffle you.
The contract will be full of legal terms that are most probably unfamiliar to you. It’s best to go ahead and familiarize yourself with basic terms you may find in the contract.
Make sure you understand before signing to avoid getting yourself into a trap. Your broker should be able to explain to you in simple terms what the contract says. But even so, you’d still need to peruse the documents on your own.
6. You’ll realize not all popular developers are trustworthy.
Just because a developer’s name is popular does not mean it is trustworthy. To find a developer that you can trust, you’ll need to consider not just the name. For instance, you can visit a completed project of that developer to check the quality, value and lifestyle it offers. You can also ask the residents for their opinion about the developer. You should also look for track record.
Other things to do
Buying a home for the first time can be both exciting and intimidating. But if you ask the right questions and spend enough time reading up on everything related to the journey, you’re less likely to encounter mishaps.
It also pays to find the right developer. While the search isn’t too easy, you’ll certainly make a smart decision by making comparisons.
Mass housing developer Deca Homes, for example, have trained licensed brokers who are willing to explain the entire process of buying a property with them, including costs and financing options.
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