Wants vs Needs -First Time Home Buyer Straight Talk About Looking for a Home (FIRST TIME BUYERS SERIES PT 2)
First Time Home Buyers Series Pt 2
Welcome to Part 2 of our First Time Home Buyer series! This part we will cover house hunting.
Note: If you didn’t get the chance to read Part 1 click here.
If you have worked through the steps laid out in the first segment, getting pre-qualified and you’re clear on what your budget is, let’s move on!
Now, the next step; to become clear on what you want to buy. There are so many options out there that it can make your head spin.
Know What You Need in a Home
As a first time home buyer it’s important to talk about your home needs. ‘Needs’ are the things that you must have. They are critical for your family/you to be able to live day to day.
These are genuine must-haves that leave little room for compromise. For example, if you are a family of 4, a one bedroom residence is not going to work for you. You will ideally need at a minimum of 3 bedrooms.
Conversely, ‘wants’ are those items that would be nice to have, but are not critical for your day to day living or things that can be added or changed over time.
It’s important to be tough on yourself during this part of the process as quite often wants make their way onto the needs list causing frustration.
The best way to sort out your Wants Vs Needs is to get it on paper in front of you. After years of working with buyers both ‘First Timers’ and seasoned ones, I created a handout that can help you sort it all out. (download a copy of Home Buying Wish List)
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I also suggest looking at homes online in the neighborhoods you are interested in to see what typical features are offered.
Know Where You Want To Be
This brings me to another important house hunting tip, knowing where you want to live. You may have to do some research to discover what’s out there. In this information super age I recommend hoping online to discover communities. Once you identify a few, spend some time driving around neighborhoods to get a feel for what you like and the areas you want to be in. Having this information ready, will help your Real Estate Agent locate properties that you will hopefully love!
Once you narrow down your needs vs wants and your neighborhoods, then you can begin working with your agent to start touring homes.
Trust Your Instincts Even as a First Time Home Buyer
It’s important to take notes while touring homes so you can review them later. Don’t miss a house! Take notes on every single one. Trust me, after seeing a homes, they can all start to ‘blend together’. One trick I suggest is to give each home a cute name. For example, the ‘cat house’ or ‘purple palace’ something that will prompt your memory.
Following each home, make notes on what you liked, if something in the home was really outstanding. For example, maybe it had all your needs, but also had an in-ground pool which was on your ‘Wants list’. These notes will help you later when trying to decide to make an offer.
Important to also noted your ‘feelings’ about a home. A home may have everything you need, but not feel right. So if you walk through a home and you’re just not seeing yourself living there or something instinctively doesn’t feel right- note it! I always coach my buyers to go on instinct. Remember, you are paying a lot of money. You need to feel like you want to be there.
Attached to this blog post is an info sheet you can use while on your touring to keep notes on each house and to remind yourself when you are doing your pros and cons of what you liked, why you liked a particular home, etc.
Things to keep in mind while viewing existing homes, paint colors and flooring greatly impact initial appeal of a home. Both these elements can be changed.
If you find after looking at a couple of homes that you are feeling like a pre-owned home is not your style, then you may want to consider new construction. If this is the case, you will need to update your lender as you may need to qualify for a different loan product.
Ask The Questions
When you find those homes you like, be sure to check in with the town to ask basic questions and confirm information such as private water (well) and private septic vs public water/sewer, tax information, assessments, what schools kids go to from that home location, etc., etc. Ask if there any plans in the works which would impact you in the future. For example, maybe the town just Ok’d a builder to add an apartment complex one block away, or a commercial strip mall down the street that will impact your street, kids playing etc.
Happy home hunting!
Be sure to check out my next post about Rehab Loans. This loan product may become necessary if you are looking at homes that need repairs.
Lisa G Lopez
Lisa G Lopez, Broker/Owner of Home Alliance Realty in Manahawkin NJ, is a 25 year veteran of the real estate industry. Born and raised in the LBI Region, Lisa has witnessed the tremendous change and growth that’s transformed the area into one of the Jersey Shore’s most sought-after destinations. Lisa understands the numerous intangible benefits of living on the Jersey Shore with its unmatched natural beauty and quality of life. Lisa has an MBA with a concentration in marketing from Stockton University and also holds a Broker's and real estate instructor's license. A self-proclaimed “Technophile”, Lisa embraces the newest and brightest in technologies and keeps pace with the latest real estate trends. Lisa’s passion for real estate is evident by the numerous awards and certifications she’s received over the past 25 years. In 2018, she received the prestigious Certified Real Estate Brokerage Manager (CRB) designation, the premier brokerage management credential in the industry. Since 2002 Lisa has achieved The Circle of Excellence Sales Award and in 2016-2018 was awarded The Circle of Excellence Sales Award Platinum level for sales in excess of $20 Million. Lisa’s exceptional knowledge of real estate coupled with her intimate knowledge of the market is what makes her the unequivocal go-to resource for all your real estate needs.