Hello! Welcome to Todd Miller TV. I want to do an update today for people who are thinking about buying a home, first time home buyers. Okay? As you probably notice for those of you who watched my videos, they’re tend to be tailored toward a lot of investors, people buying a lot of properties, experienced savvy buyers, people who are just looking for new ones’s about the market. But I want to talk to you out there if you’re a new home buyer and tell you some thing you need to be thinking about and doing. This is based on a recommendation from Mike Madsen, he’s one of the agents here and he’s worked with a lot of new home buyers and he gets these thing that keeps coming up and he wanted me to share them with you. So the first thing is, Rule number 1 is: If you wanna buy a new home, or buy a home, start saving. Okay? There are costs involve in buying buying property. you’re gonna have to out money down probably 3.5%. You’re talking about paying a Title company, paying a lender, paying for inspections, maybe paying for appraisal, paying for real estate agent, small amount, so you’re gonna have to pay the people involved. You have to have a down payment, you’re gonna have closing costs, there’s gonna be some costs. They could be up to 8% so, on a hundred thousand dollar house you could be out of pocket $8,000. But in the end, obviously it’s worth it. There’s a reward. And that’s a topic for a whole new video. Okay? When you’re saving this money, you need to be aware, you keep it in a bank account. Because there has to be, you can’t just borrow it from a cousin and stick it in your account and then say I got my down payment money. The bank needs to see that they’re coming form you. They’re gonna ask for 2 months of bank statements. If they don’t see it in there that it’s not seasoned. Meaning that it hasn’t been there long enough, they’re not gonna let you use the money ’cause they’re afraid you pulled it from some private line or somewhere else. Okay? Alright. Second thing to think about is you probably have a year lease. Start thinking about going month to month. When the year’s up, see if they’ll let you go, you’re, just go on month to month lease. Chances are, if you sign to a year lease, then you wanna get out, then they’re gonna take your security deposit away from you. It’s all negotiable but if you wanna buy a house and that’s stopping you, you know look, I’ve seen people miss out because they’ve waited 6 months, then the house they want it’s gone and maybe it’s worth 20,000 more and now it’s not affordable for them. Okay? Rule number 3 is get pre-approved now. Now a lot people out there say “But Todd, I don’t want to have my credit pulled, blah blah blah, you know what, the bottom line is, you don’t know how much you can afford. You can go online to Lending tree, places like that. Go to a lender here, that is actually gonna do the loan. Tamps it down and do it just like you’re applying right there. ‘Cause you wanna know everything. Look at your credit report and ask them “What can I do to make it better?” like “What if I make this number better?” like if you get your middle score up 10 more points, you might be into a different bracket, better loan program and a better interest rate and they save you thousands of dollars so it’s worth it to do that. Get pre-approved, find out what’s on your credit, see what you can do to get that square up ’cause this is gonna be super important, plus it’s gonna tell the agent how much you can afford and what your monthly payments is gonna be. Okay? Alright, Rule number 4, Look at a blank purchase agreement. What typically happens is we/the agent sits down with a person , hand him all the paperwork, go through it they signed it all. But if you read the whole thing, what I’m gonna do is down below this, on Todd Miller TV, if you’re watching this on YouTube, you’re gonna have to find this video on Todd Miller TV, I will put a link to a blank purchase agreement, all 11 pages, you can read through it, look at everything in there, it explains the whole thing. You can see where the timelines are, what the constrains are, give you a good idea what you’re getting in to. Rule number 5 is, this is one of Mike’s recommendation, get an aggressive agent. Any Real Estate agent can go to the MLS and look for properties. That doesn’t take a lot or a ton of skill, it’s pretty easy to search, you’re probably doing it yourself online. The advantage of an aggressive agent has is they’re out there networking with other agents and they’re talking to them about their pre-listing inventory and the better agents know each other, you know, hen that on e client really wants a house and that agent knows the other agent, so having an agent who’s well connected who knows the agent is gonna be huge because that way, they’re gonna understand that your client’s probably legitimate and that you’re/they’re gonna communicate that to the seller, hopefully. Alright. Number 6, have reasonable expectations. I know you probably looked on Zillow months ago and saw this really smoking deal that was $80,000, that house, it was listed under price, it was probably trashed, whatever the thing is, that house doesn’t exist anymore. So if you’re walking out there thinking you’re gonna get this deal for X, and you’re finding out the house is more, just be realistic with those expectations, okay? The bottomline is whatever you’re paying in rent, it’s almost certainly you’re gonna pay less and own a house and have a mortgage. Okay? It’s almost certain. That’s how investors make money. They buy the house, you rent it from them, they make money, okay? If it was costing them more money to own it and for you to rent it, they wouldn’t do it. So think it about for a while and be reasonable of your expectations, okay? That’s the biggest thing is people set the bad expectations upfront, then they’re just not satisfied with the house. Okay? Point number 7 I wrote, be flexible. In Las Vegas Real Estate market right now, it’s gonna take probably a couple of shots at a house, there’s very little inventory. Everyone’s going after the same houses. You have to be very flexible. If your first offer doesn’t get accepted, don’t sweat it, just keep going until that agent gets you a house and you know, the ultimate goal is, home ownership. We know, 85% of all renters today state they someday wanna own their house. We also know that 20% of all people this year said they wanna buy a house in the next 12 months. We know there are people out there getting ready to buy. Really doesn’t matter what market you’re in, whether you’re in Vegas, or San Diego, or Denver or wherever, the bottom line is, all these rules are gonna be the same for everywhere you go. So anyway, I just wanna give an update to you, that sort of first time new home buyer, and when I mean new home, it could be a re-sale home, but it’s new for you, It’s the first house you be maybe buying. To sort of get you on the right path, you can do a lot of these without the agent, as far as getting a pre-qual, and getting a/and saving and doing that. What would help is if you did identify the agent upfront, you met with them, they could atleast make sure that whoever’s doing your loan is reccutable that’s they’re somebody who could get it done. You’ve probably seen some of my videos I do with Troy Weatherly he’s kinda our guy here that get’s it done. So if you come here to us, we’re gonna have you go meet with Troy and he’s gonna get you all pre-qualified. So but that’s/it’s really a key thing but a lot of this you could sort do on your own. And then when you’re ready you need to give us a call. Or call whoever is gonna be your agent. Anyway, that is my update for today, I hope that was helpful for you, and hope to see on another video. Thanks!