You’ve been thinking about it, mulling over your options, tired of your currently living situation – whether it be renting or staying with family members. You are finally ready to pull the trigger and purchase a home. We understand at American Dream Realty the risk involved and why you may experience some nervousness over your decision and the subsequent process in finding that one that stands out from the pack.
Therefore, we have put together these “secrets behind buying real estate” for you to follow. Enjoy:
- Keep your finances status quo – What we mean by this is, if you’re truly serious about finding and purchasing a home within the next few months, we encourage you not to make any other large purchases (cars, boats, etc) or move your money between any other accounts you may have. Your lender wants to know that you’re reliable and steady with your finances before they grant a loan.
- Get Pre-Approved – Did you know there’s a vast difference between being pre-qualified and someone who is actually pre-approved for a mortgage? Yes. Being pre-approved means your lender will know who price range you can actually search in between they will tell you how much they can exactly lend you. It will save you a lot of time and frustration looking at properties you may not actually be able to afford.
- Don’t play poker with the market – Don’t lose your marbles (or cards) over trying to figure out the market trends before they come to fruition. The best advice we can give you is…if you can afford the house you want at the exact time you want to buy, what other perfect conditions would you be waiting for? Don’t.
- Contrary to popular belief, bigger is not always better – Because you’re human, you’ll want the biggest home on your street with the best landscaping and curb appeal. Remember, your home appreciation will only go up in value as much as the other homes around you do. If your neighbors paid several hundred thousands dollars less for their homes, your home appreciation will be limited.
- Never underestimate those what a home really will cost you – Aside from the mortgage, you’ll need to account for property taxes, all of the utilities, maintenance, repairs, and HOA dues if you purchase a property in a certain development that calls for that. These will ALL go into your budget. If you don’t, you could wid up being house poor.
- Do your neighborhood homework – Stalk your potential new home and the neighborhood at different times of the day and night. Note the activity and if people interact, how far the grocery store and gas station is, and how far your commute to work will be. Also, importantly, check out the school district if you have or will be having children. Your home value could be affected by as much as 20-percent purchasing a home in a highly-rated school district as compared to a poor home.
These, and more tricks and tips, will help you have a smoother home buying experience. When you’re ready. call us here at American Dream Realty, and we’ll be at your side through the entire process.