10 Best-Kept Secrets for Buying a Home
11 April 2016
Buying a home of your dreams can be exciting as well as unnerving! The mysteries of buying a home shouldn’t be a deterrent to you getting your dream home. Take time out to research & you can bring the home-buying process under control. Here’s a checklist of the best kept secrets you will have to face when you enter the process of buying a home…
#1: Study the Neighborhood
Make sure the neighbourhood suits you before you buy! Many homebuyers have become disillusioned with the neighbourhood after they had bought the home. Do careful study before you commit to buy & try to find out what’s happening in the neighborhood. Ensure it is something you can deal with on a daily basis. Find out how far it is to the nearest shopping destinations, schools and other services.
#2: The Secret Science of Bidding
Make your opening bid based on what you can afford and what you really believe the property is worth! Your opening bid should be fair and reasonable and it should not totally offend the seller. Get an average price per square foot by researching other homes that have gone for sale in that neighborhood & how the market is doing at the time.
Do some homework and find out the tax situation of the house. Many sellers today lag behind in their property taxes and if you know that it gives you a great card to negotiate a good deal.
#3: Evaluate thehouse
Try to get somebody to evaluate the house you propose to buy. This will get you the much needed information so that you can make a decision as to whether or not to buy. Get an unbiased third-party opinion and if there are any real issues with the home, you can use it as a bargaining tool for lowering the price of the home. You can save a fortune!
#4: Go with your instincts
Do not let your heart rule your head! You might end up making some pretty bad financial decisions! Buying a house based on emotions is just going to break your heart. Stay calm and be wise before you make this important decision. Going with your instincts means that you recognize that you’re getting a great house for a good value.
#5: Avoid Sleeping Costs
Other expenses like property taxes, utilities and homeowner-association dues make a huge difference in the costs. You also need to be prepared to pay for repairs, maintenance and potential property-tax increases. Make sure you budget for these extra costs so you’ll be covered and won’t risk losing your house.
# 6: Bigger is not always the better option
When it comes to houses the biggest house on the block need not be the best option. When you go to re-sell the largest house only appeals to a very small audience.You never want to limit potential buyers. At times it is best to buy the worst house on the block as it always trades better than the biggest house.
# 7: No need to time the Market
Real estate market is always changing. There are many ups & downs in this market. Trying to guess the housing market trends is next to impossible.Do not fret over trying to figure out when is the best time to buy. The best time to buy is when you find your perfect house and you can afford it. You’re probably going to miss out if you try to wait for the perfect time.
#8: Get a survey done
To know exactly what you’re buying it’s absolutely essential to get a survey done on your property. You can avoid potential disputes with your neighbors by knowing precisely where your property lines are. Also, property taxes are drawn up based on how much property you have, so an accurate map helps a lot.
#9: Get pre-approval for your Home Loan
Already having approval for a home loan can save you a lot of time and energy so you are not running around looking at houses you can’t afford. It also gives you the opportunity to shop around for the best deal and the best interest rates all within your budget. You should do research & learn about processing fees or points and make sure there aren’t any hidden costs in the loan.
#10: Save money
Do not take any big chances with your credit profile. It’s not wise to make any huge purchases or move your money around three to six months before buying a new home. Lenders need to see that you’re reliable so that they can get you the best loan possible. If you open new credit cards, amass too much debt or buy a lot of big-ticket items, you’re going to have a hard time getting a loan.
We know buying a new home can be a bit intimidating! We’ve culled together the best-kept secrets for buying a home in hopes they ease your stress and point you in the right direction particularly when it comes to getting the best deal.