Buying a home is one of the largest milestones in most people’s lives. It can be simultaneously exciting and daunting—so much so, that cable is flooded with TV shows depicting the anxiety of purchasing homes and the resulting drama. To decrease your personal drama factor, here’s a list of the 5 priorities to consider BEFORE you go into escrow.
BUDGET
Before you get your heart set on a particular listing, it’s best to do a full financial assessment. Gather your recent tax information, and current income statements and go to a lender of your choice. Have them pre-approve you for a loan. However, this is not all the information that you will need.
Take into consideration your full financial comfort. What can you reasonably afford? Can you afford the mortgage payment that you’ve been quoted? Is there room for additional expenses such as HOA fees, mortgage insurance, or other fiscal responsibilities? Look at your whole financial picture, and take care to stay within budget while looking at homes.
NEED and WANT
How many bedrooms and bathrooms are absolutely necessary? Which amenities are critical? It may be helpful create a long list and start sorting the items into “need” and “want”. It may take a few passes to discern your needs. By all means, hold onto the list of your desires, just keep them lower down on the list.
LOCATION
The old saying goes, the 3 most important things in real estate, “location, location, location.” And, it’s not too far from the truth. Some of the important factors to consider include how far your new home will be from work. Consider neighborhoods within 15-20 minutes from your job. Longer commutes could mean 10 or more hours a week on the road instead of in your new home. If you have children or plan to, consider the schools as well. You can look into the schools in the area by reviewing how well they perform here. https://nspf.doe.nv.gov/Home/NVReportCards
There are plenty of things to avoid as well, including traffic noise from busy streets, party houses/ noisy neighbors, crime ridden areas (check with local area crime reports). The best way to verify you really like a specific home and neighborhood, is visit the house at different times of day. Ask yourself if you would feel safe walking around in the evening by yourself.
BALANCE
Once you’ve taken into account the above 4 priorities, chances are you’ll need to shift and balance the elements here. Within the constraints of your budget, you may find the perfect neighborhood with the bare minimum bedrooms, but afford the features that bring you the most happiness. Once you plan and take assessment of your priorities, you’ll be ready to make a house your home.