The Top 10 Tips to Buying Your First Home
A quick read for those serious about purchasing their first home and more in the future.

1st home fixit tips

When you get out there looking, the tendency is to overpay for something clean with newer carpet and paint. We’d rather you buy the best value, then choose your colors later. Low end carpeting starts about $8 per square yard. For a 10' x 10' room, that's about $89 in carpet. You need padding and installation. So figure at least another $50 for the room. Painting by a professional can run anywhere from about $100 per average room and up, if there's little prep. It also can be fun to paint your first place, and a cost effective skill for life.

Most fix up skills aren’t that tough. Home Depot sells a large Orange book that shows how to do most things. They teach classes Saturday mornings for free, and if you go to the store at a quiet time, their employees can usually tell you how to do the job. The internet and friends are also other good sources for information.

If the place needs a lot of work, you don’t need more money than your down payment. Ask about a 203K loan, which keeps the down payment the same and gives you the money to do the work that's needed to make the place inhabitable.

Some people say the secret to real estate is location, location, location. While that conventional wisdom has some merit, we believe in cash flow, cash flow, cash flow. Eventually we want you in a great place in a super area. That happens after you put away a bunch of rental properties.

Is it good value?

Ask your Realtor to show you all recent comparable sales in the area. Also, take a look at Zillow.com, Trulia.com and Cyberhomes.com. Compare dollar per square foot purchase costs. If a 1,000 square foot home sold for $100,000, that’s $100 per square foot. Adjust for amenities, like layout, location and view.

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