5 Overlooked Steps When Buying a Home for the First Time

Purchasing a house for yourself or your family is one of life’s most exciting (sometimes overwhelming) yet serious pursuits. It is not like shopping for your OOTD, wherein you may add your chosen outfit to your cart based on color or how well it fits you. Buying a home involves more than seeing if you like the property. It requires more work and time.

Saying yes and purchasing a home in a rush is one of the biggest mistakes of some first-time home buyers. If this is your first time buying a property, know that saving up for your first home is not the only challenge you will face. Before you buy a house, do your research well.

Be sure you won’t miss a single thing when buying your first real estate property in the Philippines. Here are steps you should not forget during the buying process.

Visit the property two to four times before making the decision.

One visit to the property is not enough to decide whether you’ll buy it or not. Often, it is best to revisit the property two to four times to inspect the home and the neighborhood to get to know your new address better.

Even if you are buying a brand new home, such as an impressive unit at Una Apartments at Sevina Park in Biñan, Laguna, extensively inspecting the property is a must. OFWs buying a home for the first time can enlist the help of a trusted family member or friend to check the property for them while they are on a video call.

Commute or drive from your new home to the places you frequent.

Let’s say you’re moving into another city or suburb like Laguna. If you are working in Metro Manila, try commuting or driving from the address of your potential new home to your office, school, family home, or other places you frequently visit. Doing so will help you see if the location of your new home suits you best. Remember, you can always upgrade your home, but one thing you can’t change is its location.

Try to commute or drive at different times of the day to know what to expect should you buy and move into your new home. You can also try commuting during rainy days to familiarize yourself with the different transportation options you have aside from driving or riding a taxi.

Do extensive research about the property’s documents.

Even if you’ve scrutinized every nook and cranny of the new house you want to purchase, don’t forget to investigate the property’s documentation. Ensure all the property’s documents are complete and legitimate before making any initial payment. Remember, after you make your payment, there’s no turning back.

Ensure the property is not problematic. Read the property’s title and ensure all information about it is the same as described. Beware of lot encroachment, overlapping boundaries, and land dispute issues. If you discover these issues and have already paid a hefty amount for the property, you might need to go through court to get your money back.

Think about how to transfer ownership to your name.

Paying the total amount of your new home does not automatically transfer its ownership under your name. After paying for your property in full, you must transfer the land title under your name.

Remember that after signing and executing a Deed of Sale and it has been notarized, the buyer and the seller will have deadlines for paying taxes. If you do not pay these on time, these will incur penalties and surcharges. Process this immediately or have someone you trust do the title transfer to avoid delays and dealing with additional penalties.

Make sure that you have a good credit score.

Applying for a housing loan is an alternative way to finance your chosen property. However, financial institutions such as banks will check your credit score before you can get a home loan.

A credit score is a three-digit number representing your creditworthiness or ability to pay off a loan based on your credit report. Your credit score will depend on the following factors:

• your credit payment history
• the amount you owe or credit utilization ratio
• length of credit history
• types of credit used
• new credits

Consider applying for a credit card to start building your credit score. Remember to spend within your limit and pay your bills on time.

Remember these five overlooked steps when buying your new home to avoid facing big problems. Of course, don’t forget to consult with real estate professionals if you need help, and always go with properties for sale from reputable developers such as Arthaland. Happy first home shopping!

This article was published in partnership with Lamudi: https://www.lamudi.com.ph/journal/overlooked-steps-buying-home/