New Home Buyers: What do you need to know?

By: Raevyn Jones, Marketing Coordinator, NHS of Baltimore

As a result of the revised first-time homebuyer federal income tax credit coming in effect, now is the time when many Americans will be taking the big step of buying their first homes. Because buying a home is one of the biggest financial decisions a person can make, there are certain things people should know when they are in the process of buying a home.

Researching the first-time homebuyer federal income tax credit is the first thing new homebuyers should look into. They should make sure they understand the guidelines of the first time homebuyer tax credit and find out how it may benefit them. Homebuyers should also think about what they can afford and search for homes that are within their budget. What you can afford can be based on how much the down payment is that you are able to make and how much money you can borrow.

After figuring out the budget for your home purchase, finding the right neighborhood is the next important step. There are many factors such as location, distance, schools in the area if you have children, crime, and basic neighborhood demographics that come into the equation when looking for the right neighborhood you should live in. Other things to think about when buying a home are the basic things you want your home to have. This can include the number of bedrooms and bathrooms, a large backyard, wall to wall carpeting, or a finished basement etc.

One of the most intimidating factors for first time homebuyers is that they often do not know where to begin. Right now there are many unique opportunities in the market and consumers should take advantage of buying at the right time. If first time homeowners keep these things in mind before then the transition to homeownership should not be very difficult.