1. Define Needs
Congratulations on your decision to purchase a new home! Your first step toward buying your new home will be analyzing your needs. Your real estate agent can assist you with this so that you will have a clear picture of what you are looking for, what will function best for your family and what area of town you want to live in.
First, it's important for your Realtor to know and understand your reason for moving. Perhaps you are in the Military and you are being relocated to Colorado Springs for 2-3 years. Or, you are currently renting and would like to move into a home where you can begin building equity? Maybe you recently married and want to purchase your first home with your spouse. Or, you have a growing family and need a larger home. Perhaps you have just gotten a promotion, which requires you to relocate to a new city and the relocation will be moving you to Colorado Springs and you have a home to sell in your current location. These factors will all have a bearing on how you approach your home search and the purchase of a new home in Colorado Springs.
Secondly, it is important to establish a time frame that you would like to stay within for buying your home. Depending on your reasons for buying a home and the current state of the market in the area you are looking to buy, there are many factors to consider in the timing of looking for a home and purchasing a home. Discussing these factors together with an experienced Realtor should help you come up with a realistic time frame to work within.
Last, but not least, you most likely have a mental picture of what you would like your home to look like and what features you would like it to have. It's very important to write these ideas down to avoid any ambiguity later in your home search. You should make at least two lists: one should be a list describing your dream home and the other should list the features of the home that are an absolute must have in order to buy the home. In a perfect world, your new home would fulfill both lists 100 percent. It is more likely that you will end up blending the two lists into a schedule of prioritized items as you progress through the buying process. This is a normal part of the buying process as you see different homes, some things become more important and other items in or about a home become less important as you narrow down what you want and what is available.
Tips for Finding the Perfect Neighborhood
Your neighborhood has a big impact on your lifestyle. Follow these steps to find the perfect community to call home.
• Is it close to your favorite spots? Make a list of the activities — movies, health club, church, etc. — you engage in regularly and stores you visit frequently. See how far you would have to travel from each neighborhood you’re considering to engage in your most common activities.
• Check out the school district. This is especially important if you have children, but it also can affect resale value. The Department of Education in your town can probably provide information on test scores, class size, percentage of students who attend college, and special enrichment programs. If you have school-age children, visit schools in the neighborhoods you’re considering. Also, check out www.schoolmatters.com.
• Find out if the neighborhood is safe. Ask the police department for neighborhood crime statistics. Consider not only the number of crimes but also the type — such as burglaries or armed robberies — and the trend of increasing or decreasing crime. Also, is crime centered in only one part of the neighborhood, such as near a retail area?
• Determine if the neighborhood is economically stable. Check with your local city economic development office to see if income and property values in the neighborhood are stable or rising. What is the percentage of homes to apartments? Apartments don’t necessarily diminish value, but do mean a more transient population. Do you see vacant businesses or homes that have been for sale for months?
• See if you’ll make money. Ask a local REALTOR® or call the local REALTOR® association to get information about price appreciation in the neighborhood. Although past performance is no guarantee of future results, this information may give you a sense of how good of an investment your home will be. A REALTOR® or the government planning agency also may be able to tell you about planned developments or other changes in the neighborhood — like a new school or highway — that might affect value.
• Make personal observations. Once you’ve narrowed your focus to two or three neighborhoods, go there and walk around. Are homes tidy and well maintained? Are streets quiet? How does it feel? Pick a warm day if you can and chat with people working or playing outside.
Common First-Time Home Buyer Mistakes
1. They don’t ask enough questions of their lender and end up missing out on the best deal.
2. They don’t act quickly enough to make a decision and someone else buys the house.
3. They don’t find the right agent who’s willing to help them through the homebuying process.
4. They don’t do enough to make their offer look appealing to a seller.
5. They don’t think about resale before they buy. The average first-time buyer only stays in a home for four years.
Source: Real Estate Checklists and Systems, www.realestatechecklists.com.