First Time Home Buyers

The government is providing first time home buyers with substantial financial incentive to jump into the housing market and buy that first house. In this era of depressed housing prices, low interest rates and limited deductions; go for it and buy a house. This is a great time to buy but I would urge the reader to take the following steps before the closing:

1. Have an attorney review your purchase contract before you sign. Only an attorney can explain how best to add to the "form" contract proposed by your agent in order to best protect your interests.

2. Unless you are buying "as is" you should have the property inspected by a licensed home inspector that can work you through all of the likely problems with your new home.

3. Review the disclosures provided by the Seller. In North Carolina the seller is required to provide the buyer with a disclosure of certain facts regarding the property.

4. If the property has covenants and restrictions, read them. I have seen covenants that limit what trees you can plant and what colors you can paint. Check out your development so you know what you might be facing.

5. Have your attorney hold the earnest money.

6. When you shop for mortgages look at the rate, the costs and do not rule out adjustable rate mortgages if you consider your stay in this home short term.

7. Consider getting a test for radon. I have had multiple NC closings there radon levels have been so high that remediation was necessary under federal guidelines.

8. Always have your own attorney at closing and make sure that an attorney, not a paralegal or secretary, will be walking you through this important investment. Every year dozens of North Carolina real estate attorneys have been forced out of the real estate practice by the NC Bar. You are paying for service, experience and a proven tract record. (If you call a ticket service and say that you want to watch a college basketball game but you only want to spend $20.00 a ticket don't expect to watch championship (UNC) calibre basketball.)