What Every New-Home Buyer Should Know

As a new homebuyer, it is important to take the time to do your research before starting the buying process. Taking the time to do a little homework can help you avoid making some critical mistakes. You should never assume that the home is in perfect condition just because it is new.

You need to get pre-approved for your loan prior to house-hunting. Take the time to shop with at least three lenders. By being pre-approved, you will be less likely to purchase a home that you are unable to afford. Also, remember that you are not obligated to spend the entire amount you are approved for.

When you go through the pre-approval process, you will receive a good faith estimate from each lender that breaks down loan costs. Use the estimates to compare the loans to get the best deal.

Before purchasing the new home, you should speak to potential neighbors and find out how satisfied they are with the builder. This is your chance to find out if they had any problems or concerns with the builder. Once you are ready to purchase your home, remember don't be afraid to negotiate the terms. You can negotiate upgrades or even the price of the home, especially now while new home inventories are high in many markets.

Make sure you request the builder provides you with a punch list before closing. The punch list is a list of problems that must be repaired prior to closing. Do not close until all of the repairs on the list have been made. Try to remain on cordial terms with your builder. Many times problems come up after you have moved in that need attention; often, these are covered for a year or so, but a cordial relationship will assure prompt service.

Finally, you should have the home inspected by an independent professional. You can typically have this done for around $300 and it will save you money by identifying any potential problems with the home.

Looking for new construction in the Lehigh Valley? DonWenner can show you the new or pre-owned home of your dreams in the Lehigh Valley, Bucks, or Montgomery County of Pennsylvania or Northern New Jersey.