According to a recent report by the U.S. Bureau of Economic Analysis, in 2018 Arizona’s real gross domestic product (GDP) had the fourth fastest growth rate in the nation. With its economic development and mild winters, it is not surprising that real estate and rental leasing contributed significantly to this increase. As more and more people are moving to the state for new opportunities, Arizona cities offer several great choices for first-time home buyers. Here are some things to consider when buying your first home in Arizona:
Location and Proximity
One of the first issues to address is where you want to live. Often, your job’s location will determine the general area, but then you may consider issues such as commuting, convenience to schools, shopping, and other areas of interest. If you are looking to buy in a smaller community, you may have some flexibility when it comes to location. However, homebuyers living in larger cities such as Phoenix will have other contributing factors.
Present and Future Needs
It is also a good idea to think about how long you plan to remain in the home and what your future needs may be. For instance, if you are newly married and planning to have children, you will probably want to shop in family-friendly neighborhoods. If you are single, and believe you will be moving in the next few years, a smaller dwelling in an urban area may make more sense.
Payment and Financing Options
First-time homebuyers often qualify for special programs and loans which are designed to help make home financing more accessible. For instance, Arizona’s Home Plus mortgage program, which is mostly used by first-time buyers, may be able to help with down payment and closing costs and reducing mortgage insurance premiums. Additionally, first-time purchasers may want to look into federal lending options such as an FHA or USDA loan.
Develop a Realistic Budget Before You Buy
Once you know how much you qualify to borrow, you will be able to determine what you can afford. A common mistake that first-time buyers can fall into is borrowing the maximum amount of their qualifying loan. Simply because you can borrow up to a certain amount does not mean you should. Sitting down and working through your budget and considering the expenses of your new home can give you a more accurate picture of what you can truly afford. The last thing you want to do is buy more house than your income can support.
Find the Right Real Estate Professional
Buying a home is not a mere matter of choosing a property and then having your realtor prepare a few documents. Your real estate professional is going to have a critical role; this individual will assist you in locating your potential residence and recognizing concerning defects. You will also need to depend on them to refer you to a credible inspector and to advocate for you during the offer and acceptance phases of the process. Additionally, buying a home is very much a legal commitment during which you could encounter issues such as title errors, disclosure problems, and contract mistakes which could delay or even prevent your purchase. It is imperative that your real estate professional has the training and experience to manage these conflicts.
Having a real estate attorney can help you make sure you are buying the right home at a fair price and in accordance with all applicable laws. Attorney Laura B. Bramnick is an experienced Arizona real estate attorney who has the skills and expertise you need for every part of your transaction. If you are seeking an exceptional, client-driven real estate lawyer in Scottsdale, Phoenix, Sedona and throughout the state of Arizona, contact Laura B. Bramnick to schedule your consultation.