Invaluable Home Buying Tips
1. Define what you want
Why are you buying? Do you have a deadline? What do you want that you don’t have now? The answers to these questions will reduce the amount of stress the home buying process can cause. If you go into the process knowing what you want and exactly what you’re willing to pay for it, then it will be much easier to stay focused and on track. These are also important factors that your agent should be aware of. If they don’t ask, be sure to let him or her know.
2. Consult a professional
The Internet, although it offers endless free listings to buyers, can be overwhelming, while a professional can help narrow down the facts and your options. Furthermore, a licensed professional will be able to refer you to a reputable lender. Be sure to find a realtor that is truly understanding of your interests and needs.
3. Evaluate your financial situation
Most major lenders currently require that you put 20% of the purchasing price as a deposit for a home loan. An FHA loan requires 3.5% of the appraised value of the property. As CNN Money states, “The rule of thumb is that you can buy housing that runs about two-and-one half times your annual salary”.
Click on this link for a free home buyers calculator:http://cgi.money.cnn.com/tools/houseafford/houseafford.html
After all of your financial factors are considered, set a high-price and stick to it! If a seller isn’t willing to negotiate, then move on. There are plenty other great homes on the market, so don’t pay more than you were originally willing to.
4. Get pre-approved before you look
This will save time and heartache. It would be ridiculous to start house hunting before you even know your financial limitations.
5. Buy within good school districts
If you are not sure whether you’ll be staying in your new home long-term, then buying a home in a neighborhood that boasts quality schools is a smart investment move. To homebuyers with children, a reputable school can be a very important asset.
6. Consider your future plans
How long are you planning on staying put In this market, the longer, the better. Home prices are not expected to rise by much in the coming years. You could end up losing money if you don’t plan on sticking it out a while.
7. Get the home inspected
Once you’re pre-approved for a loan, you know how much you can afford, and you’ve set your heart on a home, it’s a very smart idea to have the home inspected. A home inspection typically includes an evaluation of the heating and air conditioning units; plumbing and electrical systems; the roof, attic and insulation; walls, ceilings, floors, windows and doors; and the overall condition of structural components. Pest, roof, or sewer inspections are can also be beneficial. Of course, you’ll have to use your best judgment depending on the home, so as not to spend all your money on inspections. For instance, if you happen to see an unwanted critter running around the property, a pest inspection should be a definite.
Courtesy of CNN Money and Realtor.com
Whether you’re a buyer, a seller, or one of the millions currently trying to avoid foreclosure, Angel Lynn Realty is your trusted source for buying a home and your understanding expert in the short sale process.
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