What do you need to know before buying your dream house?
Do not purchase / do not purchase & # 39;, & # 39; we have a question to rent / do not rent & # 39; The choice is up to you. It all depends on money! But in general, it is better to purchase than rent over the long term. Borrowing real estate (rent is stupid and cheap, taking into account your situation) is certainly not the same as buying your house.
When you buy real estate you are investing in the future of you and your family. But in contrast to the rental property, remember to take responsibility for the taxes, insurance, and general maintenance of the property you own. Property has specific responsibility.
What do you look for when you buy a house?
Foundation
• Most home buyers pay 3 to 20% of the selling price in cash. The higher the advance payment, the easier it is to receive a loan and the lower the interest rate. Also, the monthly payment will be lower
• Currently for the economic environment, especially if you are in a position you do not have the property to sell, the buyer's market.
What kind of house can I afford?
In general, you can buy a house worth about three times the annual household income. If the total income is $ 50,000, I can afford to buy a house of 150,000 dollars.
Money you need before
• Prepay (probably)
• Reduce costs (perhaps)
• Other. Cost + monthly fee
• Mortgage payment (tax and insurance card)
In order to buy a house you need money for prepayment and money for monthly payment
Here is the summary :
• 3 - 20% of prepaid purchase price. The actual amount depends on the type of loan you gained and how well your credibility is.
• 1 - 8% of the purchase price of closing costs. You will not have to prepay this. The bank may be willing to add it to your mortgage. (If cash is required, it will be added to the mortgage loan, but if not, prepay the advance payment in advance). The actual deadline is the transaction you want the lender to give you and the house. The higher the house, the closer the cost will be as a percentage of the total price.
• $ 250 to $ 800 for other costs. These are like loan application fee, bank fee for issuing credit reports, house expert exam, appraisal (if you can not get the reputation, it will be added to closing costs) Thing.
Become an agent?
Do not forget to pay the seller, not pay the price. It is worth considering. This is because the agency can access MLS (Multiple Listing Service), which is a database of departments listed by other realtors. Of course, you can also hire agencies to do CMA (competitive market analysis). In the market analysis, compare the price you sold with the house you are interested in, the other similar house in the neighborhood you recently sold. This is more costly than MLS searching. Of course, you can also search yourself online using Yahoo Real Estate or Zillow sites. Instead of getting a CMA from an agency, you can also hire an expert witness. The review is far more detailed than the agent's market analysis, probably more accurate, but it may cost more.
• Banks do not loan you without evaluation, regardless of whether they use agents, so an expert witness is necessary. When you find a house you want to obtain disclosure from the seller. This is a list of problems of the house the seller knows and the seller is what you have to give to you by law.
• Ask the house for a professional inspection. You generally have to pay this yourself. At that time, the estimated cost was around $ 450. If there is a problem that the inspection is not enumerated in the disclosure, it costs a lot of money to correct it, but please ask the seller to lower the price or fix the problem before selling. 39; What you want.
Mortgage application (loan)
To qualify for a mortgage, the following four things are usually necessary.
• Money to make a deposit.
• Revenue two to three times higher than payment for your mortgage. (I am thinking about making a mortgage payment in 1 minute for details)
• Two years of solid employment history (same work or field).
• Descent credit (not perfect). But it is a good idea to get your finances steadily before you look for property. Clear the credit card or withdraw at least the payment. Do not miss paying for credits. Please check your credit score. It is rare to kill homeowned dreams over credit card debt.
What are you looking for when you buy a house?
Is it about all places, places and places? Why did you choose a specific place?
- Is it for practical reasons? -
- Is the house a reasonable distance from your workplace?
- Is the house close to a child's school?
- Is it social aspect and nightlife that will take you to this place?
Are you ready to expand your search apart from "street lights" especially if you do not know the location? When coming to the suburbs, you will feel better for your money. How do you go about all of this? Make a list. Include: -
- Your budget - minimum and maximum. Which deposit can you put in your dream property? Do you consider agency commission, assessment fee, closing fee, housing inspection fee, repair, renovation?
- Do you have any property to sell?
- Before purchasing other real estate, do you rely on the sale of the first real estate?
- What is your monthly household budget? - Including utilities, HOA fees, taxes, gas etc
Next step
- Move while preparing & # 39; & # 39; & # 39;
- What is "what you need"? For example, we will create a list of the main things you really need, such as the number of bedrooms, the number of bathrooms, the backyard, the patio area, the scenery and the pool. The list may be big, are you ready to compromise?
Consider considering foreclosure.
More:
Looking at multiple properties, you can feel the house you desire.
When seeing real estate ... Can you imagine that you live here if you ask yourself? How will the room look decorated and decorated?
Do not be afraid to offer under market value. The seller has the right to refuse your offer. They may come back with a counter offer. It is all about negotiations. Please be confident of your ability guided by your agent.
Do not forget
We will offer you by signing the contract. When the seller accepts your offer, they sign. At present, generally there is an obligation to buy a house, the seller is generally mandated to sell, but depending on the wording of the contract, you have the right to depart from one of the transactions under certain circumstances.
Now you know what to look for when buying a house. Please find the place of your dream
