Your home may be your castle, but that doesn't mean you want to pay a royal fee to buy it. If you're thinking about making the move from renting to buying, here are a few tips to keep in mind along the way to ownership.
Location, location, location
One of the best ways to stretch your real estate dollar is to consider the location of the property. School district, nearby amenities and other factors play into the lasting value of a home and how easily you'll be able to resell down the road. Some experts advise buying the least-expensive home in a better neighborhood. Also keep in mind proximity to your work place - expenses like mileage and added gas can add up when stretched over years of home ownership.When not to buy
Buying a home and building up equity rather than renting is generally a good idea. But when isn't it a good plan? Watch the market. Talk with a real estate agent and see if it's a buyer's market or a seller's market - the more homes that are sitting on the market for longer periods of time, the better chance of you getting a good deal. However, even in a good buyer's market, you probably don't want to buy if you're planning to move within a few years or anticipate significant life changes in the near future.Mortgage Math

• Mortgages are complicated. Take time to compare differnt mortgate options. Saving even one percentage point can make a big difference in your monthly payments - which can save you a lot of money during the course of your loan.
• Typically, the shorter the mortgage, the lower the interest rate.
• You may get better tax deductions on longer-term mortgages, but the longer your loan is, the more interest you usually pay. Do the math before you choose.
• Know the difference between fixed-rate and adjustable-rate mortgages. On the most basic level, fixed-rate mortgages don't change interest rates during the life of the loan - your monthly payment stays the same unless you refinance (which usually means a new set of closing costs) down the line. The interest rate you pay when you have an adjustable-rate mortgage varies based on a set formula, such as prime rate plus a certain percent. This means you might get especially low rates when the prime (or other variable) is low, but it also means you might have unexpected increases in your mortgage that you'll need to adapt your budget to quickly.

Monthly payments
Keep your mothly payments affordable. It's tempting to get the house of your dreams, but it's better to buy and keep a more modest home than it is to end up facing foreclosure for one that's more of a stretch financially. Some say the most your should spend on a home is two and one half times your annual income.Save for a downpayment
While it's possible to buy a home with no or little money down, particularly in a tough economy and buyer's market, it still makes sense to save up a down payment and money for closing and moving related costs. Otherwise, between the loan value, interest during the life of the loan and other costs rolled into the mortgage (such as if you include any or all of your closing costs), you risk owing more for the home on day one than the house is actually worth.If, on the other hand, you can save enough for a downpayment, each of those dollars is one fewer dollar you'll be paying interest on for the next 15 or 30 years. That adds up to a lot of money in your pocket and equity in your home.Spend less
Spend less than you can afford and use the extra money you'd have put toward your mortgage for an emergency fund or other investments.Get more for your money
Look for properties that have landscaping, appliances, window treatments and other fixtures included. This will save you the money of installing these things later. If you are purchasing a home without these types of items, make sure you're paying less than equivalent homes that include these features.Get what you pay for
If you put in an offer, make it contingent upon a satisfactory home inspection. Though this is one more cost to incur, it's a worthwhile one. It will give you peace of mind that you're getting what you pay for and, should something be amiss, will give you the opportunity to demand the seller to fix it or to negotiate a lower price.Don't be afraid to offer less than the asking price
Especially in this market, buyers are often willing to consider offers less than the list price. There is some risk inherent with making a low offer - if another buyer happens to be putting in a competing offer, you might miss out. But generally speaking, you can usually increase your offer but won't as easily be able to get a seller to accept less than a prior bid.Learn more
Most of us don't buy property on a regular basis. That's why it's a good idea to get people on your side who do buy and sell property regularly. Meet a few real estate agents to find one you trust who can advise you along the way. Or talk to a buyer's broker, real estate attorney or other professional. It's also a good idea to do research about buyer's programs, tax credits and the like.The Ohio Housing Finance Agency is a good resource for Ohio home shoppers. You can find its information here. You'll find information about homeownership assistance, first-time homebuyer loan programs and more.Kentucky also has a home buyers' site with applicable information here.Do you have a great tip for homebuyers? Share it in our comments below.