Orange County Realtor Amy Sims Offers Tips on How to Know When You're Ready to Buy a Home

Buying a home is a big decision, especially for first-time buyers. Realtor Amy Sims of Orange County offers tips to those considering making a home purchase in the near future. She stresses the importance of knowing when the person is ready.

A person should ask themselves several questions before they decide to purchase a home. One of the primary questions to ask is “How much money has been saved?” If the person doesn’t have any money in savings, they should wait until they have funds in their savings account. They will need enough for a down payment and other expenses associated with buying a home and moving.

Another issue the person should consider is how stable their current life is. If they think they may switch jobs or even more to another city or state, it’s better to postpone buying a home. While many people sell their first home to move into something else, they wait until they have built up some equity in the property to use for a future purchase.

Owning a home is a big responsibility with repairs and preventative maintenance. Not everyone is prepared for the extra work. People don’t always realize how much it costs to keep a home up in good condition. They also have to pay for repairs as components wear out or do the repair work themselves. Everything from appliances to the roof and furnace need to be replaced at some point. Homeowners should budget in extra money each month to save towards unexpected expenses. Postponing repairs can result in major problems.

Buyers may not realize where their credit stands until they start shopping for a home. They may not even have an established credit history if they haven’t held credit cards or had other loans. Until they have a positive credit history, it will be difficult for them to qualify for a loan.

Amy Sims recommends that potential buyers visit with an experienced real estate agent and a mortgage lender before they get serious about searching for a home. “Talk to the experts and ask them questions, so you know what to expect,” she says. This helps prepare the buyer for the process and allows them to determine if they are ready to take the next step. If not, they will be more informed when they are ready to buy.

Anyone who has decided now is not the time to buy a home can begin preparing for the future by working on building a strong credit profile and saving money. When they time comes for them to make the purchase, they will be ready and confident about their decision.

Sources:

http://www.amysims.com/

http://www.bankrate.com/finance/real-estate/buying-your-first-home-signs-youre-ready-1.aspx