The Top 10 Things You Need To Know When Buying A Home
The Top 10 Things You Need To Know When Buying A Home
Money Essentials - Tips for buying a
houseThe top 10 things you need to know
when buying a home.1. Don't buy if you can't stay put.
If you can't commit to remaining in
one place for at least a few years, then owning is probably not for you, at
least not yet. With the transaction costs of buying and selling a home, you may
end up losing money if you sell any sooner - even in a rising market. When
prices are falling, it's an even worse proposition. 2. Start by shoring up your credit.
Since you most likely will need to
get a mortgage to buy a house, you must make sure your credit history is as
clean as possible. A few months before you start house hunting, get copies of
your credit report. Make sure the facts are correct, and fix any problems you
3. Aim for a home you can really
The rule of thumb is that you can
buy housing that runs about two-and-one-half times your annual salary. But
you'll do better to use one of many calculators available online to get a
better handle on how your income, debts, and expenses affect what you can
4. If you can't put down the usual
20 percent, you may still qualify for a loan.
There are a variety of public and
private lenders who, if you qualify, offer low-interest mortgages that require
a small down payment.
5. Buy in a district with good
In most areas, this advice applies
even if you don't have school-age children. Reason: When it comes time to sell,
you'll learn that strong school districts are a top priority for many home
buyers, thus helping to boost property values.
6. Get professional help.
Even though the Internet gives
buyers unprecedented access to home listings, most new buyers (and many more
experienced ones) are better off using a professional agent. Look for an
exclusive buyer agent, if possible, who will have your interests at heart and
can help you with strategies during the bidding process.
7. Choose carefully between points
When picking a mortgage, you usually
have the option of paying additional points -- a portion of the interest that
you pay at closing -- in exchange for a lower interest rate. If you stay in the
house for a long time -- say three to five years or more -- it's usually a
better deal to take the points. The lower interest rate will save you more in
the long run.
8. Before house hunting, get
Getting pre-approved will you save
yourself the grief of looking at houses you can't afford and put you in a
better position to make a serious offer when you do find the right house. Not
to be confused with pre-qualification, which is based on a cursory review of
your finances, pre-approval from a lender is based on your actual income, debt
and credit history.
9. Do your homework before bidding.
Your opening bid should be based on
the sales trend of similar homes in the neighborhood. So before making it,
consider sales of similar homes in the last three months. If homes have
recently sold at 5 percent less than the asking price, you should make a bid
that's about eight to 10 percent lower than what the seller is asking.
10. Hire a home inspector.
Sure, your lender will require a
home appraisal anyway. But that's just the bank's way of determining whether
the house is worth the price you've agreed to pay. Separately, you should hire
your own home inspector, preferably an engineer with experience in doing home
surveys in the area where you are buying. His or her job will be to point out
potential problems that could require costly repairs down the road.
Author:Mike Nolan Phone: 252-207-4898 Dated: July 27th 2014 Views: 472 About Mike: Mike is the Broker-in-Charge of Waterfront Properties OBX and has been successfully involved in real...
Waterfront Properties OBX is a privately owned company specializing in sales, leasing and land development of residential and commercial real estate on the Outer Banks of North Carolina (OBX).
Michael P. Nolan, Broker-in-Charge, has been successfully involved in real estate on the OBX since 1989. Mike was involved in the initial and / or development of the following premier communities and businesses located on OBX: Pirates Cove, Corolla Light, The Currituck Club, Pine Island, Old Nags Head Place, The Berkley Manor, Beachside Landing, Ocean Trail Realty and Ocracoke Island Realty to name a few.
Mike was the first resident of Pirates Cove community in 1988. He toured Rees Jones, famed golf course architect, the first time Rees saw the property now known as The Currituck Club on Feb. 18, 1995. Mike managed the sales and marketing while Rees Jones, Inc designed and developed The Currituck Club golf course from a combination of dense woods and sand dunes into one of the top 50 new resort golf courses in North America by Golf Digest magazine in 1997. Mike also developed Old Nags Head Place, a community of homes located within Nags Head with an architectural design reminiscent of the original Nags Head landscape, with cedar siding, exposed rafters and preservation of the indigenous live oakes within the community
From Corolla to Ocracoke Island, Mike's expertise in all facets of real estate sales, development, leasing and investment are available for buyers, sellers and investors to explore the many opportunities the OBX has to offer
"December 2014….. It is my pleasure to give the team at OBX waterfront properties a 5 star review!!!!! I highly recommend their services. The hard working professional, dedicated, cohesive team was at our side every step of the way. Mike Nolan made everything run smoothly from beginning to end. I can honestly say that they are not happy until you are 100% satisfied. We recently purchased land in Southern Shores and plan on building our dream home. Thanks again to the experienced team with their wealth of knowledge of the Outer banks. Thanks for making our dreams come true!! "