First-Time Home Buyer Guide Raleigh NC | Jason Dalton Realtor
Buying your first home is exciting, but it can also feel overwhelming. From understanding buyer representation to choosing the right neighborhood, there are many decisions to make. I would love to help you begin the process.
As you start learning the important components and terminology, these topics can help establish a strong foundation for understanding real estate and preparing for your first purchase in Raleigh and the Triangle.
1. Speak With an Experienced Real Estate Professional
It is never too early to begin casually browsing online. When you are ready, reach out and we can arrange a time to meet in person or virtually. With more than 23 years of Triangle sales knowledge, I can help you understand the Raleigh-area market, answer your questions, explain the buying process, and create a realistic plan around your goals and financial situation.
An experienced Realtor can help you identify neighborhoods that fit your lifestyle and budget, understand current market conditions, connect with reputable local lenders and professionals, explain purchase costs, understand North Carolina's due diligence process, evaluate potential property concerns, negotiate on your behalf, and guide you from your initial search through closing.
Once ready to begin, please take a few moments to share important details in my Buyer Onboarding Google Form. I'll be notified and be in touch soon!
2. Buyer Agent Representation in North Carolina
Before you begin touring homes, it is important to understand how buyer representation works in North Carolina and how a Realtor can advocate for your interests throughout the home-buying process.
As a first-time buyer, you may not be familiar with the role of a buyer's agent, the services they provide, or when you may be asked to sign a written agreement. You deserve to be well represented in this major financial decision.
What Should First-Time Buyers Know?
Written agreements: These establish the working relationship between the Realtor and buyer.
Agent responsibilities: Understand whom the agent represents, their duties to you, and how they protect your interests during the transaction.
Compensation: Discuss how your agent is compensated, which services are included, and whether you may have financial responsibility under the agreement.
Agreement terms: Review the duration, scope of services, termination provisions, and other important terms before committing.
Confidentiality and advocacy: Ask how your agent will handle confidential information, negotiate on your behalf, and help you make informed decisions.
Why Does Buyer Representation Matter?
Buying a home involves significant financial and legal commitments. A clear understanding of your representation from the beginning can help you feel more confident while navigating showings, offers, negotiations, inspections, and closing.
I also recommend several inspections and have long-standing relationships with trusted, reliable local vendors. Inspections are generally paid outside of closing and before the inspection date. Common inspections include a general home inspection, which reviews the home from roof to foundation and may cost roughly $500 to $750 depending on the home's size and age; a radon gas test, often around $125 for a 48-hour testing period; and a termite inspection, also called a WDIR or Wood Destroying Insect Report, commonly around $100.
Absolutely no pressure, here as a resource. We can meet in person or virtually to begin discussing your home buying needs, please send me a message.
3. Understand Your Budget and Financing Options
One of the biggest mistakes first-time buyers make is shopping before understanding what they can comfortably afford. A monthly housing payment can include PITI: principal, interest, taxes, and insurance. I like this simple Mortgage Calculator, feel free to plug in numbers and explore your comfort level.
Principal: The portion of your mortgage payment that reduces the amount you owe over time.
Interest: The amount the lender charges for lending the money, often over a 30-year or other loan term.
Taxes: Real estate tax bills are often issued in August. Many mortgages include an escrow account that collects one-twelfth of the estimated annual tax bill each month and pays the bill when due.
Insurance: Homeowners insurance, sometimes called hazard insurance, is often collected monthly through escrow to pay the annual premium.
Mortgage insurance, commonly called PMI, may apply when your down payment is less than 20% of the purchase price. During an introductory call with a trusted lender, you can review conventional, FHA, VA, USDA, credit union, and other financing options that may fit your needs.
It is also important to budget for expenses that are not included in PITI. These can include HOA dues, utilities such as electricity, natural gas or propane, water, sewer, trash, internet, and cable, plus maintenance and repairs. Begin a home-maintenance fund right away and set aside money each pay period for unexpected needs. It is not a question of if an issue will arise, but when.
Remember: the amount a lender says you qualify for is not necessarily the amount you should spend. Your lifestyle, savings goals, and long-term plans matter, too.
4. Get Pre-Approved Before You Start House Hunting
Pre-approval is a vital part of the buying process and one of the reasons we begin here. I have worked with clients who saw one home and immediately knew it was the right one. When that happens, we want to be prepared to submit a strong offer quickly.
For pre-approval, lenders commonly request recent pay stubs, annual W-2s, 1099s for self-employed buyers, recent bank statements, state and federal tax returns, and a current, non-expired photo ID. If you expect to receive gift funds, discuss the details with your lender well in advance so there are no unexpected hurdles. In some cases, employer verification may also be required.
No two buyers or loan products are the same. That is why it is valuable to explore financing before you begin serious house hunting.
5. Where Do You Want to Live?
Raleigh and the Triangle offer a wide variety of communities, and where you buy can be just as important as the home itself. First-time buyers should think beyond the house and consider the day-to-day lifestyle a location supports.
Here, you can begin exploring the Triangle real estate market. The searches are broken down by City Name and you can begin applying additional limiters to narrow in your search criteria.
As we narrow your search, consider commute times, access to major roads and highways, nearby restaurants and shopping, parks and recreation, schools and future plans, neighborhood amenities, property taxes, HOA fees, future resale potential, and local tax rates.
Thank you for allowing me to share this guidance. Protecting others in real estate is my true joy, and it would be my pleasure to advise you. If you are ready to begin, complete my Buyer Onboarding form and share the important details of your plans.
Thank you,
Jason A. Dalton
North Carolina Real Estate Broker & Realtor
Keller Williams Realty
7400 Homewood Court, Suite 200, Raleigh, NC 27609
919.520.7067
Jason@JasonSellsRaleigh.com
