HONOLULU (HawaiiNewsNow) - Buying your first home is such an exciting time in your life, but it can also be nerve-wracking. Where should someone start? In this week's Smart Money Monday, we're going to learn about taking your first step towards living the American Dream.
But before you begin house hunting, you should start by getting pre-qualified by a trusted lender. Getting pre-qualified makes you a much more attractive buyer because they know you're ready to make the purchase. Plus you'll know exactly what kind of house you can afford, so you won't waste your time looking at homes that are out of your price range.
Next, have a clear idea about the neighborhood you want to live and kind of home you are looking to purchase. Consider things like, condos vs single family home. Once you've decided on the area you would like to live, you'll want to make a legitimate offer based on the asking price and what other homes in the area are selling for. Sometimes making a low-ball offer can backfire because the seller can get insulted and doesn't want to sell to you or it can set you up for lots of back and forth negotiations. There could also be another serious buyer making an offer that the seller will accept rather than negotiating with you. It's best to consult with a real estate professional who can assist you.