HOW TO PLAN YOUR HOME PURCHASE IN 2025
1. Set a Clear Goal: Determine how much you need for a down payment. Typically, this is 20% of the home’s purchase price. However, there are many programs your mortgage provider may offer and your down payment might be less depending on your mortgage qualifications. Then research the average home prices in your desired area to set a realistic savings target.
2. Create a Budget: Track your income and expenses to identify areas where you can cut back. Allocate a specific amount each month towards your home savings fund.
3. Open a Dedicated Savings Account:Automate transfers to this account to ensure consistent savings.
4. Reduce Debt: Pay down high-interest debts to improve your credit score and increase your borrowing power. Also, avoid taking on new debt while saving for your home.
5. Increase Your Income: Look for side gigs or freelance opportunities to boost your savings. You may even consider asking for a raise or seeking a higher-paying job.
6. Cut Unnecessary Expenses: Review your subscriptions and memberships; cancel those you don’t use. Cook at home more often and limit dining out.
BEGIN THE PROCESS:
1. Get Pre-Approved for a Mortgage:
- Contact lenders to get pre-approved, which shows sellers you’re a serious buyer.
- Compare mortgage rates and terms to find the best deal.
2. Research Neighborhoods:
- Consider factors like schools, commute times, and amenities.
- Visit neighborhoods at different times of the day to get a feel for the area.
3. Make a List of Must-Haves:
- Identify your non-negotiables (e.g., number of bedrooms, yard size).
- Be prepared to compromise on less critical features.
4. Attend Open Houses:
- Visit multiple homes to compare options.
- Take notes and photos to help remember each property.
5. Make an Offer:
- Work with your agent to submit a competitive offer.
- Be prepared for negotiations and possible counteroffers.
HOW TO PICK A REAL ESTATE AGENT
1. Get Recommendations:
- Ask friends, family, and colleagues for agent referrals.
- Read online reviews and testimonials.
2. Interview Multiple Agents:
- Consider meeting with at least couple of agents to compare their approach.
- Ask about their familiarity with the local market and their track record.
3. Assess Communication Skills:
- Choose an agent who listens to your needs and communicates clearly.
- Make sure they are responsive and available when you need them.
5. Trust Your Instincts:
- Select an agent you feel comfortable with and who understands your goals.
- Trust your gut feeling about their professionalism and dedication.
I hope this helps you get started on your path to homeownership! If you have any more questions or need further assistance, feel free to ask. 😊
Kasia Karolewska, Sales Associate
Coldwell Banker Realty
