Whether you are purchasing a house as an investment property or your personal home, you should definitely take some time to consider the ins and outs of the entire process. Here are some bits of info to keep in mind (take special note if you are a first-time home buyer!):
- Make sure your credit is as good as it can be. Even a few points can drastically impact your interest rate. If your score is especially low, it will be worth the time and energy to work on your credit before even looking at the housing market.
- Even if you absolutely love the house, you are thinking about buying, don’t make an emotional purchase! Always, always consider the resale. You never know what changes will occur during your life (having more children, losing a job, or taking care of an elderly family member) that can influence the type of house that is best for you. In time, this home may not meet your needs, and you should keep in mind how the home will do on the market and how you can improve your chances of walking away with some money.
- Look at the big picture. Don’t just limit your budget to considering the total cost of the house payment, but think about the cost of living in a particular city or neighborhood. Does the home have an HOA? Are utilities especially high? What about the commute time to and from work or school? These points can definitely impact your month-to-month costs even in the house payment seems affordable at first glance.
- Read the entire contract at closing. Contracts can be lengthy and include a lot of legal jargon that may not be easy to understand, but do take the time to read over every single page. Ask questions if any portion of the contract is unclear to you.
- Don’t skip the home inspection! This can be a few hundred dollars, and some people are tempted to save the cash. It’s not worth it. Set aside some funds so you can have a quality home inspection completely. Not only will you make sure your home is in good condition, but you can use any issues as a bargaining chip for final price.
Buying a home is exciting, but remember the finer details of the process. If you’d like more information about real estate, contact us at. We have real estate attorneys available to guide you through the process for a price that works for you. Good luck with the search!