House Hunting: 5 Crucial Tips for First-Time Buyers

Watching HGTV and DIY house hunter shows can make searching for a new house seem easy and exciting. But once you start looking, it can become overwhelming quickly! Even if you know what you're looking for, it's hard to sort out what's crucial from what's "nice to have," as your real estate agent may tell you. But don't worry, you're not alone. We've put together some tips, do's, and don'ts that should help as you learn how to start hunting for a house. 

Still trying to decide if you're ready to buy a home? Here's how to know when you're ready to buy a home.

Top House Hunting Tips

1. Money Talks

Tracking houses for sale on listing apps like Zillow, Trulia, and Realtor can be fun, but your dream home could be out of reach if you don’t know your budget. When you’re ready to start with house hunting tips, begin by getting prequalified or preapproved for a mortgage. 

Getting prequalified gives you an idea of what a lender may be willing to loan you and shows sellers you're serious about purchasing a home. (Note that once you're truly ready to leap, you'll need to get preapproved — which means applying for and getting an official loan amount from a lender.) This is one of the most useful house-hunting tips first-time buyers can follow since it can help narrow the search, strengthen your bargaining position, and save time and potential heartache so you don’t fall in love with a house you can’t afford.

Pro tip: Save as much money as possible before and during the house-hunting process. The more you have saved for a down payment, the lower your monthly mortgage payments can be. A larger down payment can also give you an edge in highly competitive markets.

2. Sort Out Your Must-Haves 

Start a house-hunting checklist to track features that are necessary for your future home, like:

• Number of bedrooms and bathrooms
• Yard size
• Number of stories
• Age of the home
• General condition

You can also make a list of want-to-haves that may include additional features such as:

• A dedicated home office
• A specific layout
• Garden or outdoor space

Pro tip: Make sure to bring your checklist along when viewing homes so you can check off items with each house you visit. 

Related:What to look for when buying your first house

3. Neighborhood and Lifestyle Preferences

Choosing where to live is crucial — “location, location, location” is a well-known phrase for a good reason. And it's one of the most vital house-hunting tips we can offer. Your location can determine which school your children will attend, the length of your commute, neighborhood safety, and amenities, where you shop, and possibly where you’ll socialize — in other words, where and how you’ll live your life.

When you're house hunting, look for a home that works for you in the best neighborhood you can afford. If you like a neighborhood, check it out at different times of the day. If you know someone who lives in a neighborhood you like, ask that person for insight. You could even talk to neighbors about what they love (or not) about the area. Here are some neighborhood preferences to consider: 

• Gated community
• Downtown access
• Historic neighborhoods
• Park access
• Bike and walkability scores
• Proximity to public transportation or freeway access
• Safety (Additional tip: Check out websites like CityProtect and NeighborhoodScout, which provide insights into the safety of neighborhoods.)

4. Find a Local Agent

A real estate agent can provide professional, expert guidance during house hunting. They can offer helpful tips on home searches, showings, market information, and more. An agent familiar with the local area can provide valuable house-hunting tips first-time buyers may not know about, making them a great resource.

An experienced agent is like an encyclopedia of house-hunting tips and helpful advice. They've been through the process many times, and they'll be able to guide you toward a home that will fit your needs. To find a trustworthy real estate agent, start with personal recommendations. Check your social media channels, read reviews, and ask coworkers and friends who have recently bought homes to recommend a talented real estate agent.

5. Visit Open Houses

Visiting several open houses is a significant first step when house hunting. It can help you compare a home’s amenities with your list in a way that photos and virtual tours just can’t. You may be surprised how different things can be in real life. Here are some things to look for:

• Which direction does the house face? This will affect the natural light in the home. 
• How big are the windows and the trees surrounding the home? 
• Check the condition of floors and counters and look for damage that was not pictured in the listing. 
• Take note of any smells — some can be difficult to eliminate, like cigarette smoke or pet urine. 
• Is the layout of the house comfortable and efficient for your lifestyle?
• Will you need to update major items like kitchen appliances? Are there flaws that weren’t obvious in the photos?

Another advantage: When other potential buyers are present, they may ask questions you hadn't thought of, and you can get an idea of how many other buyers are interested. 

Be sure to bring along our home viewing checklist for an easy way to keep track of your viewings. 

What's OK to Overlook? 

When you're looking for your dream home, sometimes it's easy to be thrown off by outdated fixtures, lousy paint colors, or other things that are quite simple to fix once you own the home. Let's chat about some things that may be off-putting but that you can probably ignore during the house-hunting process: 

Dated Decor

Pink walls, tasteless wallpaper, dull curtains, and burgundy carpets could scare away even a committed buyer. But the truth is, these things are relatively easy and inexpensive to fix, so don’t cross a house off your list just because of an ugly interior. It’s incredible how little things like new doorknobs, cabinet hardware, and light fixtures can make a big difference. Even plumbing fixtures, light switches, and doors are simple to swap out.

Lack of Curb Appeal

A yard full of overgrown bushes or a dying, patchy lawn can make any home look uninviting. Luckily, most landscaping issues can be affordably fixed with fertilizer and a few weekends of yard work. Similarly, faded house numbers, old light fixtures, rusty mailboxes, and an outdated front door can all be improved with some simple curb appeal updates. 

When in doubt, remember that your agent is your best resource for helping you understand what updates are easy fixes and what might be deal breakers.

Older Appliances

Unless new appliances are a must-have for you, don't be scared away by older items like fridges, dishwashers, and more. The good news is that with a real estate home warranty from First American, these and many other appliances and systems are covered when they fail due to normal wear and tear. So be sure to ask your real estate agent to add a home warranty to your contract during the sale. 

Related: Check out other closing costs for first-time home buyers to understand what to expect. 

FAQ About House Hunting

What should I do before house hunting? 

Before you start house hunting, it's good to get prequalified with a lender so you know your budget. Also, start making a list of your must-haves and like-to-haves so you know what you're willing to compromise on and what's necessary for your future home.

How long should you spend house hunting? 

There's no correct answer to how long you should spend house hunting. Some people find a house the day they start looking, and others take months to over a year to find the right home. It depends on your situation and the market. For example, you may be in a time crunch if your lease expires soon. But if you rent month-to-month or have other housing arrangements, you can likely take more time to find the perfect house. In a hot market, houses sometimes sell the first day they’re listed. If you love a house, have your agent look into it immediately.

How far in advance should I start house hunting? 

Many real estate resources recommend beginning your house hunt five to six months before you're ready to buy. But be aware that you may miss out on some houses you like if you begin searching this early. Depending on the market, houses can go very quickly or take months to sell — so be patient and don't rush the process. Only buy a home when you're fully prepared. But ensure to get your budget and financing ready to act.

The contents of this article are provided for general guidance only. First American Home Warranty does not assume any responsibility for losses or damages as a result of using this information.