BUYING A HOME |
Whether you've spent years saving and preparing to buy a home, or are unsure if you can afford it, the questions surrounding a house purchase can feel endless.
You can find the answers - and peace of mind - by working with
RE/MAX, the industry leader in experience and
service.
If you're a renter who isn't quite ready to make the homeownership leap, use
RE/MAX Heading Home to compile a game plan and earn
credits toward your closing costs.
Here are some tips to help you become your own landlord.
Hire a real estate
professional.
The first step is to select a professional to help you find your dream home
and fine-tune your financial expectations. Working with a buyer agent is worth
consideration since he or she is legally responsible for representing the
buyer's interest in a real estate transaction. Before making a decision,
however, have a Realtor explain the pros and cons of using a buyer agent
versus a sales or dual agent. Your RE/MAX
Associate can guide you through every step to buying a home.
Shop for
mortgage rates and terms.
A difference of even half a percentage point can mean a huge savings over the
life of a loan. For example, the difference in the monthly payment on a
$100,000 mortgage at 8 percent vs. 7.5 percent is about $35 per month. Over 30
years, that's $12,600.
Prequalify for a loan.
Your third step should be to get prequalified, which determines how much you
can afford. It allows you to move swiftly when you find the right home,
especially when there are other interested buyers. It also indicates to the
seller that you are serious and really can afford to buy the property.
Define
what you want.
The next step is to create a realistic idea of the property you'd like to buy.
What features are most important to you? Make two lists: one of the items you
can't live without and one of the features you would enjoy. Refine the lists
as you house hunt. It is also helpful to search online to see what is
currently available on the market. Your real estate professional can then show
you houses that meet your expectations.
Visit
properties.
Now you're ready to visit houses. Ask your RE/MAX
Associate to arrange showings, and keep track of the properties you've seen.
Know the
features that help or hurt resale.
In some areas, a swimming pool actually detracts from a home's value and makes
it harder to sell. In neighborhoods with two-car, attached garages, a
single-car or detached garage may impact the home sale and future value. Your
RE/MAX professional can point out features that
hurt or help resale value.
Rate the
houses you tour.
After touring each home, write down what you liked and didn't like. Develop a
rating system that will help narrow the field down. For example, pick the
house you like best on day one and compare all other houses to it. When you
find a better one, use the new favorite as the standard.
Make an
offer.
Once you've pinpointed your dream house, it's time to get serious about the
financial and contractual side of the purchase. Your
RE/MAX Associate will be a strong advantage since you and the seller
have different goals.
Arrange
for a home inspection.
After your offer is accepted, set up a home inspection. It's common to find
problems, including leaky roofs, cracked walls, insect infestations and
foundation problems. Your real estate professional can help find a reputable
inspector, and will negotiate to get you the most for your money once the
inspector's report is final. If you negotiate repairs as part of the purchase,
ask for a "walk through" before finalizing the paperwork. Ask your real estate
expert about home protection plans, which may save you money in the near
future.
Close.
Before your closing date, make sure you've made all necessary deposits and
completed the paperwork - including mortgage, title, homeowners insurance and
any other paperwork required by local or state governments.
Prepare
for life in your new home.
Before rolling out the welcome mat, consider some moving basics: arranging for
an alarm company, turning on electricity, water and gas, cleaning or replacing
the carpet, and notifying your local post office of your new address. The best
time for renovations is often before you move in.
BACK |