First, let me explain how you can become an educated buyer.
Determine your ability to purchase a home by going to a bank (yes, banks have gotten bad names recently, but unless you are a cash buyer or can borrow somewhere other than a bank then you need a bank).
Having said that, where do the banks borrow? The government--you should do the same--go FHA or VA if you can. That's where the money is available.
It is imperative in these times that you get prequalified by a lender because you have to find out if the bank thinks you are credit worthy.
Always check your credit score. You can go to
www.mycreditreport.com to check what your score is. Banks are now looking at numbers above 700 whether it's to purchase a home or a car or whatever and lenders are looking for a much larger downpayment--20% is likely.
Once you decide how you will purchase your home you need to seriously think about where you want to purchase.
There is so much information on the Internet through websites, through public MLS information, through Realtor.com, ActiveRain.com, Zillow, Trulia and on and on.
Take the information that feels right to you and discard the rest. There will be sites telling you the value of a home you might be interested in, but unless you know the seller's situation, it doesn't matter.
Exhaust all your avenues and narrow your search to areas that appeal to you--living on the ocean, living on the river, in a gated community, in a rural community, in a deed restricted (those have covenants that each home must follow such as color, size, # of garages, size of lot, etc.), in a heavily populated area (more store availability).
In your search for homes, get the information about the neighborhood. You can use
www.city-data.com to get more information
Having narrowed down either the area you are interested in or the type of home you are looking for, you can become more serious.
Find a Realtor who is familiar with the area of interest and make sure you have put alot of thought into what is important to be included in your home--how many bedrooms minimum, baths minimum, type of flooring--carpet, wood, tile, laminate, garage stalls minimum, pool, heated or not heated, screened in or not, the structure--frame, concrete block, etc., what kind of roof--cedar shakes, tile, metal, 3-D shingles (also known as architectural), sidewalks, underground utilities, size of bedrooms, do you want a master suite and what do you want in it--jetted tub, separate shower, dual sinks, what kind of kitchen--modern, country, contemporary, what kind of cabinets, countertops--granite (high end), laminate, solid surface, concrete, type of appliances--if stainless steel is a must and the home you are interested in doesn't have that, look at the shape the appliances are in and figure a price drop in your offer so you can get those stainless steel appliances later on.
Realize the more specific you are in your detail and wish list, the less homes will be available to you. But, if you know what you want why waste your time on homes that don't fit the bill?
Once you have communicated with a Realtor and you have some homes you are scheduled to see, keep the following in mind as you look at each one:
Look beyond the "stuff" which is furniture, paintings, photographs, knick knacks, wall color or wall covering, dirt (oh my you wouldn't think you would find it in a home looking for a buyer, but sometimes it's there!). I hear so many buyers mention that they just love the lamp or the art work. None of this will stay with the home once you purchase it. The only thing that would go against that statement is if you are really lovin' the seller's "stuff" and want to make that part of the purchase.Ask yourself how you feel as you approach the neighborhood, how do you feel as you approach the front door, what is your first reaction when you just walk inside. Now, if you are quickly turned off, don't give up just yet--walk through (remember the sellers most likely spent a day cleaning and preparing for your visit) and see if there are some highlights that stand out in your mind. Take notes--this is so important because once you have looked at say 3-5 homes, they all blend in and it is very difficult to remember which one had what. Honestly, they do all blend in and you could swear the second home had the gorgeous kitchen with the walk in pantry, but actually in reality it was the third one. Notes are great when you have toured your homes and are sitting down to a glass of wine or a cool glass of lemonade away from the hustle and bustle of being in each home.
Don't look at buying a home as a short-term investment. In this day, homes are what they used to be--places where people lived their lives in the comfort of their home and put money into their home for the long term.
Let your Realtor tell you based on his or her research the important things about each home you are considering buying--things that they have access to that you may not.
Share as much information as you are comfortable with sharing with your Realtor so he or she is informed as much as possible about you--it can only help you in the long run.
Trust that the Realtor you choose will work the hardest for your long-term investment.
Choose only one Realtor who will devote their time to you.
2. Now, and only after all your research, is the time to buy because the home you buy will have been given as much thought and research it deserves.