Top 10 Tips for First-Time Homebuyers in the Greater Lehigh Valley

Top 10 Tips for First-Time Homebuyers in the Greater Lehigh Valley

By: Erica Rittenhouse 

Buying your first home is a huge milestone, but it can feel like a daunting journey—especially in a competitive market like the Greater Lehigh Valley. From understanding mortgage options to making a winning offer, there’s a lot to navigate. But don’t worry—you’ve got this! With the right knowledge and a clear plan, you can confidently find and purchase your dream home. Here are the top 10 tips to help you get started.

1. Know Your Budget and Get Pre-Approved

Before you even think about touring homes, it’s crucial to know what you can afford. Take a good look at your finances, including your income, debts, and savings. Once you’ve got a handle on your budget, get pre-approved for a mortgage. This not only gives you a realistic price range but also shows sellers that you’re serious.

Local Insight: In 2024, the median home price in the Greater Lehigh Valley is around $325,000, marking a 5% increase from last year . With homes selling fast, having that pre-approval letter ready can give you a competitive edge.

2. Research the Neighborhoods

The Lehigh Valley offers a little bit of everything, from quiet suburban enclaves to vibrant downtown areas. Take time to explore different communities, thinking about factors like schools, commute times, and local amenities. This will help you zero in on the neighborhoods that best fit your lifestyle.

Pro Tip: Bethlehem and Easton have seen home prices rise by 7% year-over-year, reflecting high demand . If you’re looking for more affordable options, check out Whitehall or Emmaus—they offer great value at a lower price point.

3. Prioritize Your Needs and Wants

House hunting can be exciting, but it’s easy to get swept away by flashy features. Stay focused by making a list of your must-haves and nice-to-haves. Consider essentials like the number of bedrooms, proximity to work, and yard size. This list will keep you on track and help you avoid compromising on what really matters.

Quick Tip: Homes with three or more bedrooms are in high demand in the Lehigh Valley, so knowing your priorities will help you act quickly when you find the right fit .

4. Work with a Local Realtor and Understand the New Buyer Agency Rules

The Greater Lehigh Valley market has its own unique dynamics, and having a local Realtor in your corner can make all the difference. They’ll provide valuable insights, guide you through the process, and help you navigate the competitive market.

Plus, be aware of the recent changes to buyer agency rules from the National Association of Realtors (NAR). In 2024, there’s more transparency about how buyer’s agents are compensated, and buyers now have the option to negotiate these terms. Make sure you discuss with your Realtor how they’re compensated and what costs, if any, you might be responsible for .

Local Expertise: A savvy local Realtor can help you discover hidden gems and up-and-coming neighborhoods. Don’t forget to ask them how the new NAR rules could impact your transaction and what your options are.

5. Be Ready for a Competitive Market

The Greater Lehigh Valley is hot right now, with homes often receiving multiple offers. In fact, the average home here spends just 18 days on the market, down from 22 days last year . To stand out, be prepared to move quickly when you find a home you love. Make your offer strong—consider offering a higher earnest money deposit or being flexible with the closing timeline. Just be sure not to overextend yourself financially.

Expert Advice: While some buyers still include a personal letter with their offer to connect with the seller, this approach is increasingly discouraged to avoid potential fair housing issues .

6. Don’t Skip the Home Inspection

Once your offer is accepted, schedule a home inspection right away. This is your chance to uncover any hidden issues, from structural problems to necessary repairs. If the inspection reveals significant issues, you can negotiate with the seller for repairs or a price reduction, or walk away if the problems are too extensive.

Important Note: Even in a competitive market, skipping the inspection to make your offer more appealing is risky. Protecting your investment is worth the extra step.

7. Understand the Closing Process

Closing on a home involves several steps, including finalizing your mortgage, securing the title, and completing a final walkthrough. Make sure you’re clear on each step and stay in close contact with your Realtor and lender. Be ready for closing costs, which can include fees for the loan, appraisal, title insurance, and more.

Financial Tip: Closing costs in the Lehigh Valley typically range from 2% to 5% of the home’s purchase price. So, if you’re buying a home for $325,000, expect to pay between $6,500 and $16,250 in closing costs .

8. Think Long-Term

When buying your first home, it’s easy to focus on what you need right now, but it’s also important to think about the future. Consider how long you plan to stay in the home and whether it will meet your needs down the road. Is there room to grow if your family expands? Will the location hold or increase its value over time?

Smart Move: Homes in the Lehigh Valley have appreciated by an average of 6% annually over the past five years . Even if you plan to stay short-term, consider the resale value—homes in good school districts and with popular features tend to hold their value better.

9. Explore First-Time Homebuyer Programs

Pennsylvania offers several programs designed to help first-time homebuyers, including down payment assistance, low-interest loans, and tax credits. Be sure to explore options like the Pennsylvania Housing Finance Agency’s (PHFA) programs to see if you qualify. These programs can make homeownership more accessible and affordable.

Resource Alert: In 2024, the PHFA is offering up to $10,000 in down payment assistance for qualified buyers . Visit the PHFA website to learn more about these programs and see if you qualify.

10. Stay Patient and Positive

The home buying process can be a rollercoaster, especially in a competitive market. It’s important to stay patient and keep a positive attitude. You might face some setbacks or lose out on a few homes, but don’t get discouraged. With persistence and the right strategy, you’ll find the home that’s just right for you.

Encouragement: In the Greater Lehigh Valley, 35% of homes sold above asking price in the past year, showing how competitive the market can be . But remember, the right home is out there—you just need to stay focused and trust the process.

Conclusion: Ready to Make Your Move?

Buying your first home in the Greater Lehigh Valley is an exciting journey, and with these tips, you’ll be well-prepared to navigate the process. From getting pre-approved to closing the deal, each step brings you closer to your dream home. Whether you’re ready to start your search or just have a few questions about the local market, I’m here to help every step of the way.

If you’re ready to kick off your home buying journey or need personalized advice, don’t hesitate to reach out. Let’s turn your dream of homeownership into reality!

Sources:

1. Greater Lehigh Valley REALTORS® (GLVR), "Market Report - 2024"
2. Zillow, "Bethlehem and Easton Home Price Growth"
3. National Association of Realtors, "2024 Homebuyer Preferences Report"
4. National Association of Realtors, "2024 Buyer Agency Rule Changes"
5. Greater Lehigh Valley REALTORS® (GLVR), "Average Days on Market - 2024"
6. National Association of Realtors, "Fair Housing Guidance 2024"
7. Bankrate, "Closing Costs in Pennsylvania - 2024"
8. Zillow, "Lehigh Valley Home Value Appreciation Trends"
9. Pennsylvania Housing Finance Agency (PHFA), "First-Time Homebuyer Programs"
10. Greater Lehigh Valley REALTORS® (GLVR), "Market Report - 2024"