Ten Tips for First-Time Home Buyers

If you've ever paid rent, did you get the feeling you were flushing your hard-earned dollars down the toilet one after the other? It is common to feel that way when you have nothing to show for the hundreds and even thousands of dollars you spend on rent each month.

If you live in a big and booming city like the Big Apple, it is easy to see how renting an apartment may be the only option, but in all actuality, it doesn't have to be! With a few good pieces of advice and some dedication, you can own your own home sooner than you think.

As you dream of your dream home, consider these helpful hints on how you can get the most house for your bucks.

1. Start saving for your down payment right away. It's true that every little bit helps. Save every month, even if it is only a small amount. Ten dollars here and twenty dollars there, $100 from every paycheck - it does all really add up. Also, invest in CDs and other accounts with higher interest rates. If you absolutely don't plan to buy within the next, say, six months or more, consider dumping some of your funds into a CD (certificate of deposit) with a good interest rate. Let your money work for you!

2. Know what you can afford from the get-go. Work out your budget of monthly income and monthly expenses. Factor in the cost of utilities as well as the potential cost of your mortgage. Knowing this information up front could save you much heartache by keeping your sight focused on homes in your price range rather than ones in the next price bracket.

3. Shop around. Don't always go with the first realtor who contacts you. Consider a buyer's agent if you can find one in your area. Lastly, even if your realtor is super in every way, do your own searches online for real estate listings. You never know what may turn up in the market on a daily or weekly basis.