First steps if you’re planning to buy a home in the spring
The best first steps for home buying during the spring real estate market so that you can achieve your goals!
With spring rapidly approaching and new listings beginning to hit the market at a (slightly) faster clip, it’s exciting to think about diving into home shopping in 2022. The process can feel daunting, but here are the most important steps to get started:
Get your pre-approval. If you will need a loan to buy your home, the first step is to apply for pre-approval with a reputable local lender. This entails submitting your income information (paystubs, etc.) and most recent tax return, a list of assets and debts. The result is a letter from your lender that verifies that they have reviewed your finances and pre-approved you for a specific loan amount. One of the most common mistakes I see is starting the house hunt before completing a pre-approval. I coach my clients to avoid the pain of rushing the pre-approval process after falling in love with a house by completing this step early. It takes a lender from 2-5 days to complete the process, so this isn’t something you want to leave until the last minute! I am always happy to share recommendations for local lenders I have worked with and trust.
Completing your pre-approval up front also helps you set a realistic budget for your home search. You will likely get pre-approved for more than you actually want to spend, and it is your job to decide on a comfortable monthly payment. You’ll also want to keep a cushion for unexpected costs that arise with moving and buying a home. Once you’re settled in your new home, you won’t want to feel like dinner out is going to break the bank.
Establish your search boundaries. When I work with people to find a new home, the folks who have clearly defined the areas they want to live tend to have success more quickly than if their search extends across multiple cities or counties. Narrowing down to criteria like home type (single-family, townhome, condo, etc.), number of beds/baths can come later, and will largely be informed by your budget.
If you don’t know where you want to live yet, that’s ok! The process of exploring neighborhoods can (and should) be fun. Think about where you tend to end up when you have a free Saturday morning. What would it be like to live near that coffee shop you love to go to on the weekends, but have to drive to today? Are there places that you always enjoy visiting friends and family? Or maybe you’d like to spread out and get some more space. Your initial reactions and places you’re curious about can inform the beginning of your search.
As you learn more about the neighborhoods you’re interested in, and overlay your budget which you gained from your pre-approval letter, you’ll start to have a better sense of where it makes the most sense to concentrate.
Start a “no” box. This is pretty simple. As you come across things in your home that you know you don’t want to move to your next home, whether it’s minutes or hours away, just put them in a bag, a box, or start a pile in a little-used room. The more you lighten your load BEFORE you move, the less you’ll have to worry about when you arrive in your new home. This is, of course, easier said than done. :) But it’s what I wish I had done more of when I moved recently!
I am always happy to schedule an introductory call, video chat or meet up in person to answer your questions, share my insights and create your unique plan for you to achieve your home buying goal this year!