How to Spot a Good Buy
However, the one feature of interest to every home-buyer is price. Getting the most home for your money is paramount. The real problem is figuring out whether that fixer-upper on one street is a better buy than the home in next-to-new condition two blocks away. That’s why knowing what to look for before you buy can save you time, energy and money down the line. The first step is figuring out what kind of house you need. A good buy is only a good buy if it meets your current and future living requirements. Before shopping for a home, decide how much space you and your family require. How many bedrooms, bathrooms? Is a family room or formal dining room really necessary? Do you need a layout that will accommodate a lot of entertaining? Do you prefer a spacious or compact work space in the kitchen? What are your at-home work space requirements? If you have small children, can the house easily be childproofed? Next, determine how much work is required to make the house you are considering livable. Make an honest assessment of your fix-it abilities. How much work are you willing to do or pay someone else to do? Do you have basic decorating, carpentry and plumbing skills? If you plan to learn as you go, make sure you have accurately determined what you are getting into. Ask an experienced friend, family member or your real estate salesperson for their opinion, and be sure to consider how much remodeling inconvenience the rest of the family can handle. For example, if you are looking in the Boynton Beach real estate market, there are several Boynton Beach realtors that will gladly help you assess the cost vs. benefit of remodeling a home in that area, as well as help give you a better idea of the completion timeframe for the work you’re looking to do. Unless you are ready and able to tackle a major remodel, look for a house or condominium that needs only cosmetic improvements. These include painting, wallpapering and replacing items like flooring, window treatments, bathroom and kitchen fixtures, light fixtures, cabinet and interior door hardware and appliances. Remember that even these simple changes can be costly if you have to make many of them. Look for a house with universally popular selling points. If you’re impressed, the next buyer down the line is bound to be, too. For example, a roomy, modern easy-to-clean kitchen is the best selling point a home can have. A house with only one bathroom is less desirable than a house with two or more. Many buyers expect at least three bedrooms, with a master bedroom that offers a feeling of privacy. Lots of storage space and closets, especially walk-in closets, will be a real selling point. Family rooms or “great rooms” also are desirable. On closer examination, a house that looks like a bargain may lack some of these key features. Don’t forget the old adage: location, location, location. Unless you’re looking for a fixer-upper, the house should be in a condition that is comparable to other homes in the neighborhood. Avoid buying the biggest or fanciest home on the block. Consider the amount of traffic or noise. Homes located in a quiet area away from a busy street will command a higher price. Make sure the schools in your district have a reputation for quality education and safety. Check-out www.palmbeachschools.org . Nearby beaches, supermarkets, gas stations, restaurants and theaters also will make a location more desirable. It’s important to consider not only purchase price but the monthly cost of living in a home. Estimate your utility and maintenance costs. For example, will the house need to be painted on a regular basis and will you need to spend money maintaining a swimming pool? Ask your real estate salesperson about the property tax. Will you have to pay special assessments for a condominium or homeowner’s association? Consider the point in the life cycle of major household systems, such as the furnace, air conditioning, roof and kitchen appliances. Does the home have an existing Home Warranty that can be transferred at closing? If not, make this a negotiating point, or have it included in the sales contract, asking the seller to pay for the 1st year’s coverage. Once you’ve settled on an agreeable price (contract signed by all parties), if the property is being financed, the bank will send an independent appraiser to determine its value. This value will guide all involved in determining if the sale will be able to move forward with closing. Bank owned homes can be closed on fairly quickly, although they may work, consider FHA 203k financing that allows for repairs to be made AFTER closing, but are financed into your initial/original loan. Choose a salesperson that has an active Bank Owned (REO) department, as you’ll have first access to their inventory as it comes to market. Don’t be fooled by some of those unapproved “short-sale” priced homes. They can be misleading and cause many months of delay and heart-ache only to find out that many times the sellers lender(s) wants much more than even the listed price. Short sales are OK for those with lots of patience and time-- lots of time! You can find a bargain! Your first step should be to seek out a knowledgeable real estate salesperson with experience in the market areas where you wish to purchase a home. They can help you locate those properties that truly are “bargains” (whether bank owned, short sale or traditional sale) and help find the home that most closely matches your desires and needs. Disclaimer: Article submitters are solely responsible for the content of their articles. ArtiLib can't be held liable for the contents of the articles. Report Abuse | Browse By Category |
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