Buy Your First Home: The Essential Millennial Hacks | Woke Money Hero | Skillshare

Buy Your First Home: The Essential Millennial Hacks

Woke Money Hero, Money Coach, Author, and FIRE advocate

Buy Your First Home: The Essential Millennial Hacks

Woke Money Hero, Money Coach, Author, and FIRE advocate

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10 Lessons (31m)
    • 1. Intro: Welcome to the course

      2:47
    • 2. Part I: How much do you really need?

      2:15
    • 3. Part II: But how much can I afford?

      4:00
    • 4. Part III: #1 First time homebuyer hack

      5:36
    • 5. Part IV: Online searching made easy

      2:24
    • 6. Part V: What does a realtor do these days anyway?

      2:49
    • 7. Part VI: Home comparisons and comparables

      2:21
    • 8. Part VII: Putting your best offer forward

      4:59
    • 9. Part VIII: Home ownership and all that really means

      2:03
    • 10. Part IX: Expect the unexpected

      2:14
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About This Class

Do you want to eventually buy a house?

Have you ever felt overwhelmed by the whole home buying process?

Think you'll never get there? 

What if I told you it's possible for YOU? Let me give you the inside track so you too can realize your dream of homeownership. And, for most of you, for less money than you think.

Hey, it's Woke Money Hero. I’m thrilled to have been asked to create additional courses on Skillshare and share my knowledge with the thousands of students wanting to learn more about how to save, make, and invest money.

My personal experience figuring out how to and eventually buying real estate for the first time back when I was 26 (in one of the most expensive cities in the world) and becoming a Real Estate Investor buying additional properties makes me uniquely qualified to teach this material and I’m thankful you're savvy enough to want to learn it! Congrats on taking this step.

As you may or may not know, real estate is one of the (if not the) single biggest factors in creating wealth. In addition to being able to:

-Write off some of your taxes and interest, if done correctly, you are

-Building appreciation ($ equity) and

-Using the power of leverage (other people's money) to do so.

This course is a complete overview of the home buying process and especially tailored towards the first-time home buyer.

If you're wanting to buy a house at some point (no matter what kind of housing market you're in), this course is a *must* as it provides the hacks so you know what to expect and can efficiently navigate the process on your own. 

Who better to teach a course on buying a house than a real estate investor? I’ve bought and continually searched for numerous houses for the sole purpose of making money in my 20's and 30's. Buying a primary home in the *right way* can not only save you money, but it can also make you money if you’d like it to. 

Along with practical hacks to master buying a house, I’ve provided 5 invaluable resources for you (Project section; desktop):

And many more tips exclusive to my students.

**************

If you want a complete, yet fun and efficient, overview of the home buying process or have ever felt overwhelmed by the process because it seems confusing or just plain daunting, I’ll walk you through it so you have the skills to know:

  • Where to start even if you're just entering the home-buying market for the very first time
  • How to not get overwhelmed by the choices available to buyers and zero in on what's best for you
  • Exactly what to expect as you prepare to search for and eventually make an offer on a property 
  • What to do and say to beat out other buyers even in a competitive market
  • And, likely most importantly, how to put your hard-earned money to the best use

I've found there are those who do and those who don't – and those who would but won't. That being said, this course is NOT for:

  • Someone who doesn't want to put in the work: home ownership is not for everyone and requires a willingness to put in the work in order to get what you want. I will show you exactly what's required to reach your goal efficiently.
  • Someone who wants a quick fix: buying a home takes a lot of preparation and planning. I will show you how to get ahead of all that in order to make your goal more attainable.  
  • Someone who doesn't take any action: you have to be willing to start (however small) towards reaching your goals. Let me show you how to take the first steps.

This course is a prequel to my upcoming and highly anticipated Real Estate investing & passive income courses for beginners. Knowing the fundamentals of buying real estate and being able to speak intelligently about it will set you far apart from your peers and help you as you navigate the home buying process with family, realtors, lenders, sellers, and other buyers.

This course is for informational purposes only. It is not intended for investment advice. Please consult a licensed professional for investment advice.

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If you're looking to get a head start on saving money, check out my original Skillshare course "Hack Your Way to Freedom: The Psychology of Saving Money"

Meet Your Teacher

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Woke Money Hero

Money Coach, Author, and FIRE advocate

Teacher

Hello, I'm Woke Money Hero. 

Anyone can start saving money and living the life they dream of. As a Money Coach and Author of 27+ Hacks to Your Financial Freedom (https://amzn.to/31l5CJg), I research and develop courses and books on how to shift your money mindset for good.

Having grown up in the 1% but also having watched my father make poor investment decisions and lose it all, I have the unique perspective of how both worlds work. The hacks and philosophies I live by are what helped me save $100K three times in my life and live off of passive income. These are the how-to hacks that I teach in this course. 

I got an early start as a real estate investor and FIRE (Financial Independence, Retire Early) advocate. I combine my own exp... See full profile

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Transcripts

1. Intro: Welcome to the course: hi and welcome to the first time Homebuyer essential millennial hacks. Course. This course is different than other how to courses you'll take. I take full length courses and distill only the most vital information and combine my personal experiences as a real estate investor and money coach to give you proven hacks, induction herbal steps to achieve your goals. Who is this course for? If you've always dreamt about owning property because you see the advantage of investing your money instead of paying someone else in rent, this course is for you. This course is also for you if you know it's a great thing to be able to buy property but are intimidated by the whole process and want to make sure that you are doing something that will cost you in the long run. I'm not a Realtor Aurora lender out to get your money. I'm helping you set the foundation for financial stability in your life. The fact that you're taking this course tells me two things. Both your desire to own property and the value you place upon it is high. I want to congratulate you in this pursuit because I to know the true value of owning real estate. It's afforded me the ability to live the life of my dreams. And I want that for you, too. It started out with a single property when I was 26 I have to figure the process all out on my own. It's possible. Oh, I've done. It's you can do it and I believe with knowing the right Saxon following a plan, anyone can do it. The first secret is to start saving now. Don't wait until you're ready to start looking at places. Do the math for your area. Do you have 20% saved for a typical house? Is that number 10%? 3%. I'll show you how to make it work. I also know that nowadays owning property, especially in largest cities, has become mawr unattainable than ever. Competition is tight, inventory is low, and saving up for a down payment is taking longer. While there may be truth to these statements, they are not entirely true, as some people are in fact buying properties in their twenties and early thirties. I want to dispel a few myths and offer the very best advice that I can, so you can get that which you deserve. Thinking like a savvy investor, even when you're buying a personal single family, home or condo will put you way ahead of the competition by taking your time and knowing what to expect. You'll save time, money and your sanity in one of the if not the most stressful life stages you'll go through . My job is to guide you through the process so you can navigate the maze more easily and efficiently. Are you ready to get started? Let's go. 2. Part I: How much do you really need?: first things first. How much do you really need? So I'm going to let you in on a little secret that most people will claim to know. But actually don't truly understand you make your money in real estate when you buy. Okay, that seems to make sense. But what about making money when you sell? Isn't that when you realize your profit? This may be true, but you can't bet on it. The only thing you know for sure when you get into a real estate transaction is the price you pay, not the amounts that you'll get for it years down the line or how much repairs will act to the prophet. You realize buying right is key. And so many people who just start out wanting to buy a home of their own are surprised. Shocked that the cost of ownership is often way more than they thought. Things like upkeep, taxes and insurance are necessary elements. When you buy a property. Knowing this and planning ahead is essential. I've included a spreadsheet with a list of the other expenses to keep in mind as you start looking for your dream home. Speaking of your dream home What do you want that to include? Not just how many bedroom and bathrooms, but how big. Do you want the bedrooms? And should the bathrooms have tubs into separate shower stall, the more specific you become with the picture you paint in your head, the easier it will be to see it when you come across it. Things like paint, color and landscaping are much easier things to change, as opposed to layout and room size from personal experience. It wasn't until I made a list of 20 things that my wife and I truly wanted, that we found our dream home. This was before we planned on having a baby, and the dream home quickly became a small home. Life experiences change in the checklist we had a few years ago quickly changed in the blink of an eye with an additional mouth to feed. Planning ahead and being very clear on how long you think you'll stay in the home you're about to purchase will influence not only what you by now, but what you can afford later on. By breaking out your list of desires into wants versus needs. You Wilmore easily see what the pressing criteria of instead of the nice to have items nice tohave can always be a project for later on 3. Part II: But how much can I afford?: But how much can I afford once you have a general understanding of what kind of house you want to buy your next step even before you go out, Looking at properties is to get pre approved for a loan. There's a difference between being pre qualified and being pre approved qualification is a nice way of saying you probably will qualify. But without looking at the specifics, I can't guarantee it. Getting pre approved means the lender has looked at your specific scenario and run the numbers. While it isn't guaranteed, it's a much stronger better than just being pre qualified. Another secret coming your way. Lenders will tell you how much you can afford on paper that doesn't take into account what you feel comfortable doing. This is a huge lesson to understand. Just because you can afford it doesn't mean you should. The vast majority of people buy the most expensive house that they can afford. Why? Because they think that their self worth is tied to their net worth. Meanwhile, I'm over here with three houses, the 1st 1 paying for the 2nd 1 and the 2nd 1 ping for the third more on this later living slightly below your means is the trick to building wealth, plain and simple. Do you live on your own? I can show you the numbers of how many additional years you'll have to save up money in order to reach your savings goals. Since housing is likely your largest living expense, focusing your efforts on reducing it will allow you to start the ownership journey much sooner. How sooner I put together this chart to show you when the lender presents the different types of loan options to you, knowing beforehand what each of the means will help you ask the right questions and ensure you truly know what you're signing yourself up for. The most common type of home loan is a conventional loan. This is your standard pay 20% down payment, and every month you will pay down alone. With interest applied, 20% is the standard, and if you cannot pay that full amount, you will need to get what's called P. M. I or private mortgage insurance. Basically, this insurance protects the bank from Los Should you default or stop paying your mortgage payments, the 20% down is instant equity in your home think of it like insulation to a changing market. The lender wants to at least get their money back on the home Should they need to sell it? The goal is to make money, which they do over the course of lending you the money over a long period of time. Now your interest rate can be fixed, variable or you could have alone. That is interest only. There are certain pros and cons to each, and I've had all of thumb. Which one you choose depends on your particular situation and the economy. When you hear about the Fed increasing interest rates, you know that the demand for loans will probably go down. Lenders may actually be more willing to work with you when this happens. My point is that everything is negotiable. Even if they are fixed on the interest rate, that doesn't mean that other terms aren't paying points simply means that you pay down a fraction of an interest point up front, so you don't need to later on. The terms of the loan include how long you will be paying the loan back. There are many different amounts of time, but the most common our 15 year and 30 year. The good thing about a 30 year loan is that you have more time to pay the loan back so your payments are lower than a 15 year. But should you want to pay down the loan sooner, you can get a shorter term on the loan. You would be forced to pay the higher monthly payment amount, However. Alternatively, you could pay down the loan earlier on the 30 year mortgage. Granted, it does not have what's called a pre payment penalty. Okay, so this may all sound very complicated to you if you're just hearing about this for the first time. But trust me, the more times you hear these terms, the more familiar you'll get with them. 4. Part III: #1 First time homebuyer hack: another type of loan that I want you to become very familiar with is an F H A loan. This type of loan is for first time home buyers and only requires a 3% down payment. There are certain household income requirements that you may or may not meet, so you want to double check before you travel down this road. I want to briefly hit on two other financing options that I seriously doubt. Other home buying courses will even touch on, and that's owner financing and rent to own. There are people out there that have paid off their mortgages and are looking to downsize. They could very well be receptive to acting as a lender for you. You would be paying them the principal and interest, and in turn, you would receive. The property is owner. It's a little more complicated than the scope of this course, but I wanted to mention it. So you know that what a lender wants you to know and what the truth actually is, can sometimes be off a bit. That's my next point shop around. You may think that because interest rates are at a certain number that all lenders will have the same package. This couldn't be further from the truth. If you want another example, just look at gas prices. Just because gas is trading at a certain dollar amount, it doesn't mean that the two gas stations down the streets are offering the same prices right. There are so many factors that go into deciding the final price, but that's not even your concern. Your concern is getting the best deal for your particular scenario and stage in your life. One such thing that will determine what rate on what terms you're able to get is your credit score. Do you know your credit score? You should be very familiar with it. If you're starting to look at homes, this score will determine how much you can save on your mortgage payment. The lower the score, the higher the interest rate or risk. The lender sees you as the higher your score. The less risk, so the lower the rate you can get may sound unfair. But put yourself in their shoes. Would you rather lend your money to someone who hasn't paid a bill on time in the past year ? For whatever reason, or someone who pays Aled their bills on time. A credit score is an objective way for lenders to base their decisions on creditworthiness . I have heard of people disputing items on their credit reports and getting them resolved, but always best to monitor the activity. To ensure no surprises. Catch you or your lender off guard. The best way to work with your lender is to be upfront. If you're hiding the huge step that you just incurred after realizing Vegas, odds are actually against you. Your lender will find out. These pros are handling way more than just your loan and have developed really intricate methods and processes for handling a lot of loans. I should know. I worked in the loan department of a credit union in college. They are handling a large amount of paperwork, and most actually, don't mind a soft reminder every once and a while to send you that which you were hoping for yesterday. Clearly, labeling docks and sending them when requested makes the process smoother and more efficient. A favorite tack of mine and one that not a lot of people are thinking about in their first home is finding one without its space for a short or long term rent Aurora allergy. It's additional units. I know what you're thinking, but trust me, such a small number of people are thinking this way that it puts you at an advantage. Remember when I told you about F H A loans? Let's break this down on FH. A loan is mainly for first time Homebuyers, but there are a few loopholes, and I love loopholes. These are legal but should be thoroughly researched. And you should ask your lender the specific requirements for your state. FH a Streamline Rivai. Let's say you buy a house with an F H A loan and a couple of years down the line, you save up enough money and rent out your first home. You can keep the FH a loan by refinancing it into another F H A loan. That means the initial investment that you made would have been way less than what other investors are making. They oftentimes need to put 25% down. This hack alone could make you thousands of dollars. There are certain time and term qualifications, but again, check with your lender dual purpose. There are certain moments in your life when you look back and think that moment changed everything. I hope this is one of those moments for you. I'm going to share the single biggest hack I know of for buying your first home besides living with Mom and Dad for free. So few of you will take me up on this offer. But I'm going to share it anyway for hopes that knowing this tiny bit of info will inspire you to act. Get on it and your purpose. FH A loan is an f H A loan that you used to buy a duplex. It is both your home and an income generating asset. The magic is that you get to combine the 3% down payment with the power of rental income. Life changing. If this is so life changing, why aren't more people doing it? It has to do with supply and demand and the requirements it uses to restrict this kind of loan to only certain people and geographic areas. If you qualify for this type of loan, I implore you to take advantage of it. It is so valuable, I can only say that not taking advantage of it while interest rates are still relatively low and rents relatively high is the difference between effortlessly making money on an investment and losing sleep over it. Please, please look into this today to see if you qualify. 5. Part IV: Online searching made easy: online searching made easy. Okay, so you know all about the different kinds of loans and you have a pre approval in your hands or on your phone. You know that even though you may qualify for MAWR, there's a certain amount that you don't want to go over. Now what? Well, it's finally time for the fun part. Finding the exact home that you want. There are many online real estate search tools, and the perfect one for you may not be the perfect one for me. I used to like realtor dot com the best because of their map drawing tool. But then Redfin caught on to that and added it. So Redfin is my go to I suggest giving them all a try and finding the one that works best for you. The key is setting up search alerts. These are emails that you get A soon as a new house hits the market, you're going to set up exactly the criteria that you want in the houses that match that criteria are going to come to you. You probably know all this just because these online tools make it so easy. My mom can use thumb sorry, mom, but it's true. What you may not know is that Realtors time, these new homes and new open houses to get the most bang for their buck Just because the house hits the Internet at a particular time, it doesn't mean that it wasn't available before. The highly skilled, by as agent or even a nosy neighbor can get into the house before it ever hits the market. There are certain restrictions, of course, but the house next door to us just literally went through two months of repairs and construction. You don't think I chatted up the workers and asked what all they were updating. They were happy to keep me informed of what was next on how long that would take. Knowing just a little bit more than the rest of the public could be a huge advantage when it comes to real estate. The other trick is getting in to see the house in between open houses, A savvy realtor will be able to get you in whenever you want to see it. You almost don't want to see a house at an open house. It mainly benefits the seller's agent so they can show a house at a specific time to the most number of people. There have been so many times have I decided not to put in an offer because they thought there were so many people at that open house. There's no way our offer will get accepted. Not true. You'll never know unless you try. 6. Part V: What does a realtor do these days anyway?: What does a real to do these days anyway? A quick note on Realtors. There's a difference between a realtor and an agent. A realtor is part of the Association of Realtors and agrees to ethical standards. That's not to say an agent doesn't. It just means they aren't part of an association that stands for it. A broker, on the other hand, has a broker's license and carries insurance to employ agents under them. These days, they all may seem less and less needed. And that's true to a certain extent. You confined homes on your own look at pictures, go to open houses, but place where they're becoming more and more valuable is in the negotiation and closing process. Think about what they potentially could provide peace of mind that your offer is a competitive one, knowing which lenders are the easiest to work with. Which realtors do the best job back. Disclosing all details. Having a built in referral network of repair people and contractors. Realtors also, on average, sell homes for more money than FSB. Oh, for sale by owner. If you really want to buy a home for less, find someone who is doing FSB Oh, and read up on the contracting process. It's not for the faint of heart, but two of my BFF's just went through the process and saved a substantial amount of money. That hack isn't for everyone, and my friends had me and my Realtor friend as advisers in the deal. For the majority of people using a Realtor Raza bionics a lot of sense. Plus, in many states, the seller actually pays for the Realtor out of the sale proceeds. So you're getting their services for free. Make sure they're working for their commissions. What most people don't know is that realtors depend on referrals for their business. They want to do a good job and want you to be happy. Just take a step back and think about it for a second. The fact that realtors get paid in commission is actually a good thing. If they were just paid a salary, they probably wouldn't be going above and beyond. It's just human nature. If sales were a salary based job, homes wouldn't be marketed in the best possible light, and sales wouldn't be as robust as they could be. Some say that our economy would falter if this one simple fact weren't true. Realtors should know the area that you're looking in, better the new do, and they should be willing to answer any questions that you have. If they don't seem to have time for you or don't answer your questions to the extent that you would like. Maybe it's time for another realtor. I have the distinct experience of working with over a dozen realtors in many different states, and I can tell you for sure that realtors are as varied as houses, so make sure you're working with one that fits your personality and needs. 7. Part VI: Home comparisons and comparables: home comparisons and comparables. When you start seeing homes that interest you, you can now go the extra step and request that your real to gets the disclosures. These are the statements, inspections and estimates that the seller is disclosing to the buyer. Certain states, counties and cities have certain restrictions, but the rule of thumb is you want to know as much information as possible to make an informed decision about your purchase. That way you can get a much better idea of what repairs will be needed, if any. Remember the friend I told you about aboard the home from the FSB? Oh, he worked in the planning department, so was able to navigate the process a little easier. The new all I would. But you know what, he said. And I quote, If only people knew that all this info is available to them, I have to Nome or so asked him what he meant. He said that there is publicly available info that almost no what checks on. If you're looking to beat out other buy ins and knew something that they didn't do you think that would put you at an advantage over others? You picture that one thing could be the difference between going forward with the deal and running for the hills. You won't know unless you check and you won't check unless you feel uneasy about something in the disclosures, so better to read them and act accordingly. These packets could be a couple of pages or 100 so take notes. Being able to compare two houses apples to apples instead of apples to oranges means you need to have all the info in front of you. Realist states professionals use a term called camps to compare. It is simply based on the total livable square footage divided by the sale price. It typically will not include things like outdoor living space, bonus rooms, not in the permitted square footage and sometimes even garage space. So you want to take the full picture into consideration. Speaking of full picture, one way to get a better idea of what it will be like to live there is to be the nosy neighbor and ask. You don't want to do this all the time, and probably only when you're pretty sure you want to move forward. But most people like being helpful so We'll tell you if the neighborhood is really safe or if there's a noise complaint against the house up the street, you never know unless you ask. 8. Part VII: Putting your best offer forward: putting your best offer forward. One thing that the seller's agent did when we bought our dream home was say that she didn't want a lot of back and forth. So wanted our best and final offer. We live in the extremely competitive Bay Area, so I wasn't fazed by the statement. It just caught me off guard. Long story short, we were so scared of losing it. We bid $50,000 more than the next tougher E. The good news is, and it's going to sound strange is that the house didn't even a praise for what we paid. What does that even mean when you put in an offer? The lender wants to make sure they're covered on their investments so they will get an appraisal. The appraisers job is to make an accurate estimate of the homes worth. Obviously, this is an objective amount, not a subjective one. I was willing to pay $50,000 more than what the appraiser thought the house was worth, but that didn't mean anything to the lender. They want to know if they had to turn around tomorrow and sell it. If they could. That amount, I, thankfully, had $50,000 extra cash to seal the deal. So we got our dream home. I didn't have to pay extra in a mortgage payment on the cash I used went into the equity of the house. This is in direct contrast to what I told you earlier. You make your money when you buy. It's true. I made an emotional decision, acting more like an investor and doing things by the book and according to the numbers, would probably have gotten me a cheaper place. But it may not have gotten this place. You have to decide what trade offs you make in life. Paying slightly higher taxes every year was okay when we looked at the possibility of not getting our dream home. It's up to you what value you place upon that. Houses in the Bay Area are notorious for staying on the market a week and then getting snatched up by the highest bidder at $50,000 or $100,000 over the asking price. If I told you the real numbers, you may be in shock, so I'll just leave it at, depending on way or from going under or over the asking or list price. Maybe common, but one thing is for certain. Anything can be negotiated. Something may come up in the inspection report that you weren't expecting better to know about it, but that doesn't mean you can't take advantage of it. Let's say the water heater is found to be defective and a replacement will be about $1000. You can ask for the $1000 off the purchase price, and maybe it doesn't even need to be replaced and can be repaired for $200. Negotiation is the pathway to getting what you want. You have to know what you want and fight for it. Reasonable requests only, though please. This brings us to another pretty Bay Area specific thing, or in a hyper competitive market, removing all contingencies. A contingency is a dependent variable that needs to be satisfied in order to be removed or satisfied. They're our own inspection appraisal title, even sale of current home contingencies. In a competitive market, removing your contingencies makes you a more attractive by a. Hopefully this isn't the case in your area because you will want the protections that the contingencies afford you. This is the reason why I couldn't go back to the cellar and say, Hey, the appraisal didn't come in as planned. Can we re negotiate? I'd be at risk of losing the deal. Try and keep your contingencies for as long as you can. They are built in insurance for the deal, not going sideways. One of the indicators that you are not in a competitive market is dumb or days on market. You can use this to your advantage if you aren't in a competitive market. The higher the dom, the less competitive the market. And this makes sense because when a home takes longer to sell, there isn't as much demand for it. You can use this to your advantage. If I decide to do an intermediate home by in class, might show you how to look at expired listings and reach out to sellers who are more desperate to sell. This is also MAWR for a real estate investment class, which I am seriously considering creating. Typically, before the contingencies are removed, you will need to put up earnest money or a deposit with the title company. You think lenders are into paperwork. Spend an afternoon at a title company. They are the facilitators or middle men in the transaction. Your deposit in shores. Good faith that you are serious about moving forward. This is some serious cash in most cases, so you don't want to be wasting people's times here. You can typically get all your money back if you decide to change your mind, but double check the contract that you sign when you put in your offer. Your realtor should be guiding you through this process. If you aren't sure, ask. 9. Part VIII: Home ownership and all that really means: home ownership, and all that really means you're almost in the home stretch. Let's say all contingencies have been removed and you're just waiting for the loan to close . Typically, this could be 21 days to 45 days. Your lender may even have you pay a little extra to keep the rate. They quoted you a lock it into place. You shouldn't have to pay a fee if the interest rate goes down, Let me tell you the time. In between, the contingencies being removed on the loan closing can be stress inducing. You aren't out of the woods yet, but things are looking very good that you will have those keys in your hand soon, depending on if you're renting or not. Once you know things are nearing completion. You want to give your landlord the heads up. Being a landlord myself, I always appreciate a heads up, so if you have a good relationship with your landlord, the sooner you tell them the better for them. But you are in no way obligated to give them more than 30 days. Notice if that's what your lease outlines. This is also the time you can take your mind off of things by starting to get rid of items you no longer need. Purging stuff is not only therapeutic, but oftentimes a necessity. Will you be needing new things? Start picturing where everything will go in your new place under the universe or whatever you believe in will start to make it more of a reality. The day will finally come move in day. This could be less stressful with the proper planning. Will you be moving everything in one day or little by little? Do you have all the utilities turned off of the old place and ready to go in the new place ? What kind of things are you hoping to do to the place in the first week? The first month on the first year. My mom gave me some great advice after I bought my first condo living it for at least a year. You may or may not want to still do the same project suited when you first moved in. And some things may come up that you weren't expecting 10. Part IX: Expect the unexpected: expect the unexpected. If I could give you one piece of advice for buying your first place in your twenties and thirties, it would be to expect the unexpected. If it were easy, everyone would do it. But that's clearly not the case. I will give you three examples of what I mean. When I bought my first place that 26 in 2000 and six, I got laid off right after I put in my offer. Now, typically, the lender will double check employment, but two things were on my side when I got laid off. I negotiated. There's that word again. Toe work. Two more weeks, and it was 2000 and six. So lending standards will loose guidelines anyways. Thankfully, whatever had to happen happened and no one knew. I didn't have a job off course. I had enough money saved that I could afford to take eight months off after the layoff, and I hadn't bought at the very top of my qualified loan amount, so I was safe. The time in between me putting in my offer and the time the loan closed was one of the most stressful times in my life to make matters worse, The Home inspector found mold on the Deccan. Wouldn't let the loan close until it was cleared up. Remember, I had just gotten laid, often was extremely stressed that the deal wouldn't go through. If I had no job, I wouldn't qualify for another loan. Thankfully, it'll got resolved. But geez, what a time I already mentioned it. But having to pay $50,000 over asking wasn't planned for our dream home. It was stressful. And we even paid for another appraiser to come out and double check the figures. I believe it was $400 a pop. These inspections and reports cost money, so planning ahead is essential. I hope you have a better understanding of the steps involved in buying your first house. Nothing was said to intimidate you or stress you out. If anything, I hope you're less stressed now, knowing all that's involved in the hacks to get you a step ahead of the competition. Home ownership is work, but the benefits pay dividends. If you really want help saving money, check out my other courses. Thank you.