It is a good plan to buy a house and turn it into an investment property. However, buying a house is not that easy because you have to go through the entire home buying process. This may sound challenging but with the help of many professionals, you can successfully buy your first home and turn it into an investment property in no time.
It is also important not to rush things. Home buying should be dealt with carefully so you will not suffer buyer’s remorse at the end of the transaction. More importantly, you need to enjoy the process and learn from it. To help you get started, here are some ways to enjoy your first home buying:
Hire a real estate agent
The first step here is to hire a real estate agent. You can look for a house on your own but an agent will make things easier for you and he/she can help you save time. The role of the agent is essential because of the following roles:
• An agent can send you listings directly from the MLS (Multiple Listing Service), which will fit the parameters that you gave. Keep in mind that every home for sale (that is listed by a real estate agent) is entered in MLS and it is only accessed by real estate agents.
• An agent can give you a heads up. Through the MLS, an agent often knows of new listings that are not yet on the market.
• An agent will preview homes on behalf of you. Good agents spend one to two mornings a week to preview listings. This is how they will know if the property is a good fit for you.
• An agent can assist you in negotiating an offer because they know how to spot overpriced listings.
Choose a home to buy
Choosing a home is an overwhelming process. It is not easy and it should not be hastened. It is recommended that you schedule a maximum of seven homes at a time. Before you take a step inside the homes, it is imperative that you conduct research.
While you are at it, you should consider factors like accessibility, safety, and price of the house. Typically, buyers spend an average of six to eight weeks to figure out the right home for them but as soon as the neighborhood is selected, buyers end up buying a home after three home tours.
Secure your loan
One of the most important aspects of home buying is a mortgage loan. It is wiser to get pre-approved in advance so you will know absolutely how much home to buy. The popular loan for first-time buyers is FHA (Federal Housing Administration) loan. This is attractive because you can have as low as 3.5% down payment and low credit score like 580 to be approved. If you need more information, simply click here.
Conduct a home inspection
You have to know how your state goes about home inspection. There are some states that conduct a home inspection before making a purchase offer while others offer contract contingency. Contract contingency means you have the right to cancel the contract after the home inspection.