Buying a new home is challenging especially when you’re on a tight budget. Homes can be pretty expensive, but that does not mean you can get yourself one. A small budget usually makes the purchase or construction of a new home challenging but certainly not impossible. You must budget carefully and know the exact amount of money in your possession. This is the only way to come up with a great home project band stay on track.
Most homeowners are usually torn between upgrading their old homes, buying a new one or constructing one from scratch. The choice often comes down to the available money. However, if you have a significant amount saved, you can seek some financial help from some of the best home improvement loans to get started right away. There is nothing wrong with taking a small loan to help you own a home. After all, homes are the best investments. This is where we all retire to after a long day at work.
Here are five tips to help you get a new home on a small budget
- Assess what you need and not what you want
We all have the big dreams on how we want our homes to appear. However, this should not be your concern. You must first have the home before adding other luxuries with time. What are the basic features that you want in your home? Think of the number of bedrooms that will serve you well, bathrooms and have a list of these features according to their importance.
Advanced features like new appliances and walk-in closets will obviously rack the price.
- Hire buyer agents
Buyer agents assist people looking to buy new homes to find their desirable homes. Your ideal home here should match the features you listed above and come close to your budget. Remember you’re on a small budget and you need all the information you need on the best prices on homes sold by real estate agents. Your buyer agent is the right person to get you such information.
This is usually a free service most of the time since the home sellers pay the agents. Look for the licensed estate agent in your location and get in touch with them. You can also ask friends and family member for recommendations to estate agents.
- Visit your neighborhood
Sometimes you have to drive around your area to find properties that have been listed but not advertised. There are high chances that these homes might be priced below the market value. Go ahead and take your chances by having a walk to areas close to your place of work, school and much more.
- Search the government-owned properties
Sometimes the government sells its properties through the Department of Veterans Affairs, Urban Development and the Department of Housing. Get an authorized real estate agent and bid on those houses. In most cases, these properties sell at low prices and have special discounts to buyers that qualify.
- Decorate personally instead of professionally
If you’re a DIY fanatic, go ahead and decorate the home you’ve bought instead of hiring professionals. There is usually a big temptation to decorate a new home, but this can cost a lot of money. However, your personal touch on the house might be more appealing than professional home décor.