When the wedding bells stop ringing and the confetti settles, the next big chapter begins: buying your first home together. This can be both exciting and daunting. Let’s take a closer look at how making this big investment together can be a fun, well-informed, and smooth experience.
Plan out the vision together
Do you want a cozy cottage, a sleek city apartment, or a spacious suburban house? Defining your vision will speed up the initial sifting and selecting process for you both, so grab your vision board and get dreaming.
- Discuss Your Preferences: Spend time discussing what each of you wants in a home. Consider location, style, size, and any other must-have features.
- Create a Vision Board: Use platforms like Pinterest to collect images and ideas that represent your ideal home. This can be a fun date-night activity that you can add to your money date!
- Prioritize What Matters: List your top priorities and decide what you’re willing to compromise on. Maybe you’re open to moving further out of the city in exchange for a bigger space at a better value.
Make a budget
Budgeting might not sound like fun, but it’s crucial. A solid budget will help you avoid financial stress and set realistic expectations. My preferred method is the 50/30/20 budget planner, which you can access for free here.
- Assess Your Finances: Look at your combined incomes, savings, and current debts. Use the free budget planner I shared above to help you assess where you’re spending your money.
- Determine Your Budget: Experts recommend that your mortgage payment should not exceed 30% of your monthly income. Use mortgage calculators to estimate your future monthly payments so you can stay within budget.
- Factor in Additional Costs: Remember to include property taxes, insurance, maintenance, and potential renovations in your budget. They’re easy to forget but crucial to factor in.
Choosing the right location
It’s all about the location, right? It’s just as important as the home itself. It impacts your lifestyle, commute, and even future resale value.
- Research Neighborhoods: Look for areas that fit your lifestyle needs. Consider factors like proximity to work, quality of schools, safety, and community amenities.
- Visit in Person: Spend time walking around potential neighborhoods at different times of the day to get a real feel for the area and the people living there. Picture what it would be like to live there day-to-day and if it feels right for you both.
- Consider Future Growth: Research local development plans. An up-and-coming area can be a great investment, even if it’s not the prime location today.
Hunting for your dream home
With your vision and budget set, it’s time for the house hunt! This can be the most exciting part, but staying organized is important so it doesn’t become a stressful experience.
- Hire a Real Estate Agent: A good agent can provide invaluable help and access to listings that fit your criteria.
- Use Real Estate Apps: Apps like Zillow, Redfin, and Realtor.com can help you browse listings and stay updated on new homes on the market.
- Keep a Checklist: Make a checklist of must-haves and nice-to-haves. Take it with you when viewing homes to stay focused and objective. Take videos as your doing house viewings to capture your initial thoughts and to allow you time to reflect later.
Making an offer, negotiating, and closing the deal
Found your dream home? Great! Now comes the critical part: making an offer and navigating the closing process.
- Get Pre-Approved: Having a mortgage pre-approval shows sellers you’re serious and financially ready to buy, so do your work before starting your search.
- Make a Competitive Offer: Work with your real estate agent to craft a competitive offer that reflects the market value and condition of the home.
- Understand the Contract: Carefully review the purchase agreement. Don’t hesitate to ask questions or negotiate terms to protect your interests. No matter how dreamy the home is, don’t rush this part; you’ll regret it later.
Settling into your new home
Congratulations, you’ve got the keys! Now it’s time to make your house a home.
- Plan the Move: Hire professional movers or rent a truck and enlist friends for help. Make a moving checklist to stay organized, and remember to label items according to which room they belong to—otherwise, you’ll end up drowning in an ocean of boxes in your new home!
- Unpack Strategically: Start with essentials like the kitchen and bedroom. Don’t rush to unpack everything at once; take your time to arrange things as you like so your home doesn’t feel too chaotic.
- Decorate Together: Infuse your personalities into your home decor. This is where you can have fun with DIY projects or shopping trips to Ikea. Pinterest is a great place to find inspiration that fits your budget, too.
Frequently Asked Questions (FAQs) about house hunting as a married couple
Still looking for more information? Here are your most frequently asked questions about buying a house together as a married couple for the first time.
Q: How long does it take to buy a house?
A: The timeline can vary, but it typically takes 30-60 days from making an offer to closing the deal.
Q: Should we buy or rent first?
A: This depends on your financial situation and long-term plans. Buying offers stability and investment potential, while renting provides greater flexibility and freedom.
Q: What is the 28% rule?
A: Generally, experts tend to recommend not exceeding 28-30% of your gross monthly income (pre-tax) on a mortgage.
Q: How much should we save for a down payment?
A: Aim for at least 20% of the home’s purchase price to avoid private mortgage insurance (PMI) and secure better loan terms.
Conclusion
Planning your first home together is a thrilling yet potentially stressful journey filled with dreams, big decisions, and new beginnings. By going through each of the steps outlined above, setting a clear vision, budgeting wisely, choosing the right location, staying organized during the hunt, and making objective decisions together, you’ll turn the dream of owning your first home into a reality. Happy house hunting!
Laura Tynan is the founder of The Witch of Wall Street, a personal finance and investing community, where women are shown how to manage, multiply and manifest money, using simple strategies. Laura holds a BSc Hons in Finance, is a Chartered Accountant, and is certified in EFT Tapping, Breathwork, and RRT. She has been recognized by the Financial Times as a Top 20 Future Female Leader and by Yahoo! Finance as a Global Champion of Women in Business. She is a multi-award-winning speaker who has spoken at, and been featured in, Forbes. Laura hosts The Witch of Wall Street podcast and is the author of the personal finance and investing book for women, by the same name, which is available now on Amazon.
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