Buying a home is a huge decision and an exciting financial milestone, especially for first-time buyers. While working with an experienced and reliable real estate agent is recommended, you’ll still need to do your due diligence and set a realistic budget.
You’re the only one that can determine the amount you can comfortably afford. Therefore, it wouldn’t be wise to overlook critical financial details. You’ll also need to decide whether you intend to stay in that location for a long time before choosing a Newnan, GA house for sale.
Here’s an expert guide to help you buy the best homes for sale. Check these houses for sale in Newnan, GA, to choose the one that best suits your preference and budget.
Should I Buy a Home In Newnan?
When you’re well-prepared before buying a house, it boosts your long-term financial outlook while you enjoy a high feeling of pride. However, before making the final decision to buy a home in Newnan, decide whether you wish to stay there permanently or at least for a long time.
If you intend to move around, then consider renting rather than buying a house. Is your job secure? Can you comfortably pay for maintenance and home repairs besides the monthly rent or mortgage payment? Do you have family members or kids to consider? Do you finally want to settle down in one place? These and more are questions to answer.
Suppose you wish to buy cheap houses for sale in Newnan, GA; the following steps are necessary to become the latest homeowner.
Check That You’re Ready for the Purchase
Before starting your home-buying process, it’d be best to pay off any outstanding debt and save three to six months of emergency funds in case of expenses. It’d help if you were financially ready to own a house because once you’re a homeowner, the responsibility that comes with having your own homes, such as paying for repairs and maintenance, will fall on you.
What happens when your water heater spoils after three months in the new house? Also, consider your life stage. If you’d like to move soon, buying a house won’t make sense. Seeing as the home buying and selling process is expensive and tedious, ensure you’ll be in the area for a lengthy period, at least five to seven years before purchasing a house for sale in Newnan, GA.
Check Your Finances
The next step is to create a home buying budget. It’d be best if you don’t buy a home with a monthly mortgage payment of more than 25 percent of your monthly income, else you’ll be house poor. More so, this leaves plenty of space in your budget for handling home maintenance while saving for retirement.
Just to be clear, the 25 percent limit includes interest, home insurance, property taxes, homeowners association (HOA) fees, principal, and private mortgage insurance (PMI).
Get Your Down Payment Ready
While you might be tempted to jump right into searching for homes in Newnan, it’d be best to get your down payment ready.
It wouldn’t do to short-change your future with a short-term mortgage plan that will put you through financial stress when you should be enjoying the house. Therefore, we recommend that you set at least a ten percent down payment for the new home.
However, it’d be best to raise it to 20 percent to avoid private mortgage insurance (PMI). PMI is an additional cost on your monthly mortgage payment, which doesn’t go into paying off your balance.
Get a Mortgage Preapproval
While you may not know this, buying a home with cash is the best home-buying technique. However, if you can’t, you’ll need to consider getting a mortgage loan.
While discussing your down payment, assets, and income with you, a lender might prequalify you for a home purchase. However, getting a mortgage preapproval is more difficult.
A lender might want to verify your financial details and submit your loan request for preliminary underwriting. However, getting a preapproval letter shows a seller that you’re a serious buyer, so you might want to hang in there and get the letter.
Work With a Real Estate Agent
When buying Newnan, GA houses for sale, ensure you work with a real estate agent to find and secure your dream home. However, don’t forget to do your research.
A realtor working as a buyer’s agent can help you through your home buying process. They might find a house that hasn’t hit the market to give you a competitive edge and help you make an offer and negotiate with the seller if the house suits your preference so that you won’t be ripped off.
Go House Hunting
After getting mortgage pre approval, it’s time to hunt for your desired home. Consider starting with a list of preferred features you want to see in the house. Don’t forget to ask for your partner’s opinion if you have one and combine it with the features you want.
Then share them with your realtor. That way, your realtor can filter searches to only properties with your desired features.
Make Your Offer
Once your realtor has found the right house for you, you’ll need to submit an offer and sign a contract with the seller. Your realtor will help you submit a good offer. Suppose there are other buyers for the property; try your best. If you have a flexible closing date and mortgage preapproval, the seller might be swayed in your direction.
Get an Appraisal and Home Inspection
One step in buying homes for sale in Newnan, GA, under 200k is to request an appraisal and home inspection. Once you complete this step correctly, you’ll be under a contract officially to own the home. However, you’ll need to work through the contract contingencies, which are conditions you must meet to solidify the home purchase process.
It also provides a way for you to stop the purchase without losing your deposit when something happens during the process, for instance, enormous damage to the property discovered during an inspection.
Close on Your House
Here’s the final home buying stage. However, you’ll need to do lots of paperwork before getting your keys. Consider asking for your closing document copy to enable you to review it before the closing day.
Suppose you’re buying a house for the first time; these steps might appear intimidating. Don’t worry; following our guide will ensure you stay on budget and get the best deal. That way, homeownership won’t be a curse but rather a blessing to you.
Do you wish to buy Newnan, GA houses for sale, consider working with an experienced and reputable real estate agent like Tim Stout to find your dream house at a great price.
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