Simplify the Home Buying Process With These Easy Tips

Does the cozy change to the “ ‘ber Months” have you thinking about finding a “home for the holidays”?   Embarking on the hunt for your first home can be an exhilarating and exciting experience! It also means you need to do a little bit of preparation to make the process go as smoothly as possible. You’re about to make a big life change and make one of hte biggest decisions in your life, and checking off a list of essential things to consider before jumping in can help take the stress out of it. Let’s simplify the homebuying process with these easy tips!

As local NJ homeowners and professional railing and stair installers, we’ve also seen quite a few things when it comes to construction and interiors. Although we’re not real estate agents, we do have a little bit of knowledge when it comes to shopping for properties like the one we chose to open our woodshop!  We have also renovated our fair share of homes for our personal dwellings, and want to impart some of our lived experience to you on that front, too.  It’s our hope that this helpful guide of things to consider before buying a home will take a little bit of the anxiety and guesswork out of the proces for you!  And of course, we wish you luck on your journey in finding the home of your dreams.

Let’s get started!

Four Essential Things To Consider Before House Shopping

Figure out what you can afford to spend on a property!

Before you start your official search, you should sit down and figure out what your budget is.  Understanding your Debt-to-Income ratio is vital to calculating how much you are likely able to finance. This is calculated by dividing your total monthly debt by your gross monthly income; on average it’s recommended to be 43% or less.  The general rule of thumb is your housing costs should be no more than 28% of your total income and no more than 36% of your total monthly debt payments.   You’ll want to be ready to make as large of a down payment as possible to reduce your monthly mortgage payment and qualify you for a lower interest rate.  The higher the credit score you have, the better, so be mindful about what you’re putting on credit card balances before you apply for pre-approval for mortgages.

Remember to also consider additional budget factors such as utilities, insurance, emergency funds, property taxes.  It’s usually possible to find averages for property sizes/households via online calculators to help estimate potential monthly costs.  Banks will want to make sure your household can sustain all of these things before dishing out approval on funding.

Take a tour of the areas you’re thinking about living in, and do your research on cost!

Your original list should have an average of 5 with a max of 10 cities and/or neighborhoods you’re looking to move to in order to make it less daunting to narrow down.  Go online and do a search on real estate websites for average cost of property taxes, recent house sale prices, and things that may affect property value (future building projects, new retail or office spaces, school improvements, etc). Given the recent uptick in natural disasters, it is also a good idea to check the areas you’re looking at for potential emergencies and weather related policies for insurance.  It’s always a good idea to visit each area in person and take a stroll and drive through the neighborhoods to get a feel for how it will be as a resident. Rank your list from most desired to least desired so you can start to narrow down your searches.

Consider the ideal square footage and layout that’s most suitable for your day-to-day functioning.

Think about the needs of you and your family, so you can consider the adwquate maximum and minimum square footage that would allow you to live comfortably. Consider things such as pets, children, work-from-home offices, number of bathrooms required, etc.  It’s important to choose something that’s sensible for your lifestyle and household size. If you’re a single person with a small pet or it’s just you and your partner, you can select a smaller accommodation than say a family of 4.  If you have accessibility needs for mobility devices or elderly family members, you’ll want to consider a single-floor ranch house instead of something with a lot of stairs and multiple floors. If you have children, consider whether it’s a dealbreaker to have bedrooms all on the same floor or split between two levels.  You can always casually tour some homes via an Open House to get a feel for what style home works best for you before you begin your official search!

Make a shortlist of must-haves for property size and yard.

Some folks prefer a small yard with little to no maintenance, while others are looking for ample space for outdoor activities.  Do you need a fenced in yard or is an open space doable?  Are you looking for something already landscaped or a blank-slate that’s rife with potential to customize on your own?  Do you need an area with a patio or large driveway for cookouts and parties?  These are all very important qualities to consider on your list of desirable home traits.  Another thing to consider when selecting a house for yard size is privacy - houses set further back from the road or with large side and rear yard offer more privacy from neighbours and the public.  Make a list of your non-negotiables for that fit your entertainment and leisure needs as well as yard maintenance budget plans.

Bonus: Detailed housing tidbits to consider from the perspective of a contractor!

Double check the railings and stairs for adequate safety and sturdiness.

• If you have children, small pets, or elderly family members it’s very important to ensure that the railings are installed properly and are quite sturdy. You’ll want to apply slight pressure to the handrails to check for wobbling and movement, and ensure there’s at least 1.5” clearance from the wall for hand grasp.

• Ensure stairwells have adequate, clear, bright lighting and that the stairs are not too steep nor do they have “surprise steps” that are not easily visible and could cause a tripping hazard.  Likewise, check the stairs are free of obstruction, can easily be refinished if carpeted, and have adequate headroom.

• If a home was DIY renovated, it may not have been inspected to code and may be missing indoor handrails or balusters.  Check if work has proper permits and opt for a home inspection to ensure safety regulations are met.

Make sure to thoroughly check out the home’s exterior!

• Look for a roof in decent condition, the newer the better as replacing a roof is a very hefty expense as a new homeowner, in the $10,000+ range. Be on the lookout for missing shingles, leaks, and overall condition/age, and select a home with a roof in good to excellent condition. The newer the roof, the better!

• Inspect the foundation!  You should find no cracks or major damage, uneven settling, warping, and note any unusual colors/textures. Ensure nothing is protruding and everything is level.  You do not want to deal with foundation repairs on your first home!

• Inspect the exterior siding and look for signs of damage, decay, rot, or peeling paint. For a first time homebuyer, you’ll want to avoid major repairs like siding for the first few years while you recoup your moving funds.

Ensure that there is efficient and adequate heating/cooling.

• To avoid costly heating and cooling bills, opt for a home with newer, modern, high quality windows that offer better insulation. Test the windows to ensure they seal properly and don’t show signs of water damage/condensation. This will save you significantly during winter and summer!

• If the home has central heating and cooling, ensure the systems are at their mid-life or newer to prolong large costs for repair or replacements. Something that is nearing its end of life which will leave you to foot a very large bill early into homeownership is not ideal.

• If the home does not have a central air system, consider the maintenance costs of window unit air conditioning, and inquire as to the type of heating. Some heating systems like electric only baseboard heat can be quite costly.

Thoroughly check the Kitchen and Bathrooms.

• Look for signs of leakage in the ceilings and floors. Check the sinks, toilet, dishwasher, and water-enabled refrigerator if applicable, for signs of leaks or water damage

• Test the faucets, dishwasher, laundry, shower and bath spouts, and ensure the toilets flush adequately.

• Inspect all appliances for severe signs of wear and tear like cracked cooktops, missing knobs, etc.

While this is by no means a fully comprehensive list, and your realtor and lender will advise you further, we hope that this helps take some of the stress out of the process of beginning to search for your first home!  We hope that our experience in the construction industry helps guide you to some extra tidbits the average person may not consider when searching for houses, and save you a little extra time and money in the long run.

If you’ve recently purchased a home or are in the process of renovating, feel free to give Pinto Carpentry a call! We would be happy to provide you with an estimate for new railings and stairs, or to repair or replace components of your existing indoor handrail and indoor staircase. We work with previously existing homes and businesses as well as with general contractors on new construction. There’s no job too large or job too small, here at Pinto Carpentry we do it all!

This blog is meant to be informative in nature only, and does not intend to be a substitute for any legal or financial advice from an industry professional.