Best Practices for Establishing a Homebuying Budget

If you want to purchase a home, it pays to establish a homebuying budget. By doing so, you can enter the housing market with a budget in hand and narrow your search for your dream house.

Now, let’s take a look at three best practices to help you create a homebuying budget.

1. Look at Your Finances

Your finances will play a major role in your ability to purchase a home. Thus, you should evaluate your current financial situation closely so you can map out an effective homebuying journey.

Request a copy of your credit report – you’ll be glad you did. You are eligible for a free copy of your credit report from each of the three reporting bureaus (Equifax, Experian and TransUnion) annually. Take advantage of this complimentary perk, and you can gain deep insights into your outstanding debt.

If you have outstanding debt, try to pay this down as much as possible. That way, you can boost your credit score, which ultimately will help you improve your chances to acquire your ideal residence.

2. Meet with Banks and Credit Unions

When it comes to buying a home, meeting with banks and credit unions usually is a great idea. That way, you can learn about your home loan options and get pre-approved for a mortgage.

Apply for a mortgage from several banks and credit unions. Then, you can receive various mortgage quotes and select one that suits you perfectly.

Also, don’t hesitate to ask plenty of questions during a lender consultation. Banks and credit unions employ friendly, knowledgeable mortgage professionals – all of whom are happy to help you make an informed mortgage decision. Therefore, if you’re unsure about whether to proceed with a 15- or 30-year mortgage or can’t decide between an adjustable- or fixed-rate mortgage, you can ask these mortgage professionals for expert advice.

3. Consult with a Real Estate Agent

A homebuying budget is tricky to establish on your own, especially if you are entering the real estate market for the first time. Fortunately, a real estate agent can help you plan ahead for all stages of the homebuying cycle.

During a real estate agent consultation, a housing market professional will learn about your homebuying goals. Next, this professional will help you establish realistic homebuying expectations and ensure you can discover a great house at a budget-friendly price.

Of course, let’s not forget about the world-class support that a real estate agent provides after you kick off a home search, either.

A real estate agent will set up home showings, keep you informed about open houses and offer homebuying recommendations and suggestions. Perhaps best of all, a real estate agent can negotiate with a seller’s agent on your behalf to help you get the best price on a house.

Ready to begin your search for your dream home? Use the aforementioned best practices, and you can craft a homebuying budget and start your homebuying journey.

How To Buy A Waterfront Property

Seeing your desire to buy a waterfront property through is a big accomplishment. Before you sign on the dotted lines, there are a few things that you should know about the process of choosing the perfect waterfront property for you. 

Decide What You Need

The first step in finding the right property of any kind is understanding your own needs. How do you want to use the property? Will it be your year-round home, or will you be there only a portion of the year? Really map out what your priorities are when it comes to searching for waterfront properties. From here, you can figure out what areas you’d like to search in and what type of property you want to find to suit you. What types of activities will you be doing at your property? Will a lake property do the job or do you need an ocean escape? Is canoeing or kayaking a part of your dream, or is simply sitting by the water enough enjoyment for your needs? Answering all of these questions can help you to narrow down your needs for a waterfront property. 

Touring Properties

As with any other type of home search, you should take the time to scope out the properties that you’re interested in. This means not only looking at the properties themselves but looking at the communities and neighborhoods as well. What does the area have to offer you? Is it near a town or nestled away in a secluded spot? Remember that with a typical house the size of the home is what contributes to the majority of the value of the home. With a waterfront property, the surroundings are key. The closer to the water you are, the more valuable your piece of real estate is. Consider all of the typical factors when looking at properties along with the additional concerns of being close to the amenities and natural pleasures that you crave. 

Other Important Things To Consider


Other things that you should consider in finding your perfect piece of waterfront heaven are things like:

  • How close is the beach?
  • Does the beach or lake have easy access?
  • Is there an adequate amount of privacy at this property?
  • What kind of view is there?

The more breathtaking the views and the more space between you and your neighbors will give you an advantage not only in your own living situation but in renting out the property and even selling it in the future. 

There are a lot of things that go into making the decision of finding the right waterfront property. Sometimes, hiring an experienced realtor in the area can be just what you need to understand all the aspects of your investment from the area to the type of home you choose. Don’t be afraid to hire an experienced realtor to help you in your search.   

Saving for a Home and Managing Money in Your 20s

Personal financial in your twenties comes with a steep learning curve. One minute you’re studying for your finals and the next you’re expected to suddenly know about APR financing, 401(K)s, and fixed-rate mortgages.

If you’re in your twenties and are facing these new challenges, you’re probably equal parts terrified and excited for the future. And, although it can be anxiety-inducing to step into the world of personal finance, you have one tool to your advantage that your parents and grandparents didn’t have: the internet.

So, in this article, we’re going to give you some tips about buying a home and managing your finances in your twenties.

Have an emergency fund

You probably have a lot of things you want to save for. Down payments on mortgages and auto loans, saving money for traveling, beginning your retirement funds, and maybe even starting a family; they’re all important investments that will take time and financial planning to achieve.

However, one thing that many young people neglect when they first start saving is an emergency fund. There are any number of things that can throw a wrench in your plans in your twenties. You might lose a job and have to live off of savings while hunting for a new one. Maybe something goes wrong with your car and it costs hundreds to repair. Or, you could have unforeseen medical expenses that aren’t covered by your insurance. Regardless of the reason, having an emergency fund will help you stay out of unnecessary debt.

It’s recommended to have at least 6 months of living expenses saved in your emergency fund. Once you have this amount saved, it’s a good idea to keep it in a separate account to avoid spending it on things that aren’t exactly an emergency.

Don’t live above your means

We all know that buying a house, going to college, and even buying groceries are all exponentially more expensive than they used to be. However, it’s still important to try to adjust your lifestyle to the things you can afford.

This includes the vehicle you drive, the first home you buy, and even smaller purchases you make.

Avoiding lifestyle creep

Related to our last point about living above your means, lifestyle creep is the phenomenon that occurs when you get a raise or a higher paying job: the more we make, the more we spend. However, it’s possible to avoid this trend by keeping your finances in check.

The next time you get a raise, make sure that money is put to use in either your retirement fund or savings account. This method is based on the goal of “giving every dollar a job.” When every dollar you earn has a purpose, you’re less likely to spend it on new video game consoles every six months.

Reasons to Hire a Diligent Real Estate Agent to Help You Buy a House

For those who want to acquire a stellar house at a budget-friendly price, it pays to work with a diligent real estate agent. In fact, some of the top reasons to hire a diligent real estate agent include:

1. A diligent real estate agent knows all about the housing market.

Are you still unsure about what differentiates a buyer’s market from a seller’s market? No worries, as a diligent real estate agent can teach you everything you need to know about the housing market.

A diligent real estate agent will dedicate the necessary time and resources to help you become an informed home shopper. That way, you can enter the real estate market with the support and insights that you need to succeed.

Also, a diligent real estate agent is ready to respond to any homebuying concerns and questions. This housing market professional can serve as an expert homebuying resource who can help you achieve the best possible results during the property buying journey.

2. A diligent real estate agent can help you establish realistic homebuying expectations.

Although it may seem simple to look at houses and find one that can serve you well for years to come, the property buying process may prove to be much more complex than you initially thought. However, a diligent real estate agent can help you map out your homebuying journey so you can avoid potential hurdles along the way.

For example, a diligent real estate agent may encourage you to get pre-approved for a mortgage. Because, with a mortgage in hand, you can begin your home search with a clear understanding of how much money you can spend on a house.

A diligent real estate agent may ask you to differentiate between “must-haves” and “wants” for your dream residence. And with a homebuying checklist in hand, you can narrow your home search and accelerate your quest for the perfect residence.

3. A diligent real estate agent can help you handle homebuying negotiations.

Let’s face it – homebuying negotiations can be tricky, particularly if you’re forced to work with a stubborn home seller. But with a diligent real estate agent at your side, you can get the assistance you need to purchase your dream house at your ideal price.

A diligent real estate agent can negotiate with a home seller on your behalf and keep you up to date at each stage of a negotiation. Then, as homebuying negotiations progress, a diligent real estate agent will be able to offer tips and guidance to help you make informed decisions.

In addition, a diligent real estate agent can help you minimize stress throughout homebuying negotiations. If these negotiations become too stressful, a diligent real estate agent will do everything possible to help you stay calm, cool and collected as well.

If you’re planning to buy a home in the near future, hiring a diligent real estate agent is a must. This housing market professional will do what it takes to ensure you can purchase a wonderful residence that matches or exceeds your expectations.