Meeghan Ford's Blog
If you intend to purchase a house soon, it helps to prepare for the home buying journey. In fact, if you identify potential issues before you start your quest to find your dream home, you could avoid them during your property search.
Now, let's take a look at three common issues that plague homebuyers, along with tips to address these problems.
1. Lack of Home Financing
In some instances, a homebuyer will check out residences and find one that matches their expectations. Next, this buyer will submit an offer to purchase a home that ultimately gets accepted. At this point, however, the buyer may discover that they lack the necessary financing to acquire this home.
Entering the housing market with financing in hand is ideal. If a buyer gets pre-approved for a mortgage, they will know precisely how much money is available for a home purchase. As a result, this buyer can map out their home search accordingly.
To get pre-approved for a mortgage, it helps to meet with a variety of banks and credit unions. These financial institutions can teach a homebuyer about his or her mortgage options. Plus, they can help you make an informed mortgage selection.
2. Tight Home-buying Timeline
If you have only a limited amount of time to move from your current address, you may rush to purchase a house. In this scenario, you risk making a rash home purchase – something that may prove to be problematic both now and in the future.
For buyers who face a tight home-buying timeline, there is no need to stress. If you make a list of home-buying tasks you need to accomplish, you can take a step-by-step approach to the property buying journey.
3. Unrealistic Home-buying Expectations
You may expect to buy your dream residence without delay. Yet the real estate market offers no guarantees. And in certain instances, it may take many weeks or months before a buyer finds a house that they want to purchase.
To establish realistic home-buying expectations, it usually is a good idea to work with a property buying expert. Lucky for you, real estate agents are available in cities and towns nationwide, and they can provide home-buying insights that you may struggle to obtain elsewhere.
A real estate agent is committed to a homebuyer's success. As such, he or she will work with a homebuyer and help them prepare for the housing market. A real estate agent will also set up home showings and provide feedback about available residences in a buyer's preferred cities and towns. And if a buyer finds a house that they want to purchase, a real estate agent will help this individual put together a competitive home-buying proposal, too.
When it comes to purchasing a home, you should plan for the best - and worst-case scenarios. If you consider the aforementioned home-buying issues before you begin your house search, you can boost the likelihood of enjoying a successful property buying experience.
Before you commit your hard-earned money to a luxury home, make sure you know what you're purchasing. Just because a house has a high price doesn’t mean it’s truly luxury. A luxury home is built better and has more space and amenities in it than other homes. Even a home with the same number of bedrooms as other houses could be a luxury home, but the bedrooms are going to be larger, plus they will have more closet space – usually walk-in closets – and each bedroom might have its own bathroom. Other signs that a home is really a luxury home include better appliances, the best fixtures and additional amenities as space allows, such as a pool, an external game room and a larger garage.
Check the Neighborhood
If other homes in the neighborhood are in the same price range, you are likely buying a luxury home. However, be careful as some neighborhoods are just more expensive than others, but that doesn’t mean the homes are luxury homes. It’s easier to tell a luxury home that is in the suburbs because those homes usually have more space for pools and additional out-buildings.
Check the Interior
In addition to the items mentioned above, check the quality of the materials. Flooring, including carpet, should be top quality. Cabinets should be wood cabinets. If the house has crown molding, it should be good quality – and more than just a strip tacked where the wall meets the roof. Countertops should be of high quality if not marble. Look at window frames and door jambs to see how well they are put together. And the windows should be at least double pane windows, if not triple pane.
Be prepared to jump through some hoops to get financing. If the price of the home is above a certain amount, you’ll need to qualify for a jumbo loan. That amount changes depending on your location. It may also change every few years. Your real estate agent and mortgage lender will be able to tell you what the conforming loan limit is for your area.
Get it Inspected
Just because you are buying a luxury home, it doesn’t mean that it doesn’t have problems. Always hire a well-respected inspector to inspect the home before you close. The inspector will check for plumbing, electrical and structural issues, will make sure everything works properly, will let you know if he or she sees signs of wood-destroying organisms and other problems. In addition to a home inspector, always have the home inspected by a pest control company for termites and other critters that could damage the home.
Home prices are always negotiable, especially if the inspectors find problems. Ask your real estate agent for a list of comparables so you know if the property you're considering is priced appropriately.
If possible, it helps to maintain a flexible deadline as you navigate the homebuying journey. Because if you have a tight deadline in place, you risk making a rash homebuying decision. And as a result, you may pay too much to acquire a home. Perhaps even worse, you risk purchasing a house that fails to match your expectations.
As you prepare to kick off your homebuying quest, it helps to plan ahead. Fortunately, there are lots of things you can do to streamline your home search and discover your ideal residence in no time at all.
Now, let's take a look at three tips to help you accelerate the homebuying journey.
1. Prepare Homebuying Criteria
If you know you want to buy a home, you should put together property buying criteria. That way, you can enter the housing market with a plan in hand to acquire your dream residence.
To establish homebuying criteria, think about where you want to reside. For instance, if you want a home close to parks and other family-friendly attractions, you should hone your house search accordingly. On the other hand, if you need a house that offers quick, easy access to family members, you should search for a home near these relatives.
Consider the features you want to find in your dream home, too. If you make a list of home must-haves, you can focus exclusively on houses that have the features you require.
2. Establish a Budget
Usually, it is beneficial to begin a home search with a mortgage at your disposal. If you get pre-approved for a mortgage, you will know how much you can spend on a house. Then, you can search for houses that won't force you to exceed your budget.
To obtain a mortgage, you should meet with a variety of banks and credit unions. These financial institutions can teach you everything you need to know about home financing. Plus, they can help you make an informed mortgage selection.
3. Hire a Real Estate Agent
With a real estate agent at your side, you should have no trouble performing a successful home search.
A real estate agent is devoted to homebuyers' success, and as such, will do what it takes to help you achieve your desired results. For instance, if you want to buy an affordable house in a small town, a real estate agent will make it simple for you to do just that. Or, if you want to purchase a home near your office in the city, a real estate agent will craft a custom homebuying plan so you can accomplish your goal.
Furthermore, a real estate agent takes the guesswork out of buying a house. If you ever have homebuying concerns or questions, a real estate agent will respond to them – without exception.
Want to enjoy a fast, stress-free homebuying experience? Take advantage of the aforementioned tips, and you may be better equipped than ever before to seamlessly navigate the homebuying journey.
If you want to enjoy a seamless homebuying experience, it generally is a good idea to establish a property buying plan. That way, you can take a step-by-step approach to make your homeownership dream come true.
As you prepare a homebuying strategy, there are several factors to consider. These factors include:
1. Your Dream Home Definition
There is no one-size-fits-all definition of a dream home. Instead, this definition varies from buyer to buyer. But if you define your ideal residence, you can narrow your house search accordingly.
Think about the features you require from a home. For instance, if you want a house that offers multiple bedrooms, you can search for residences that provide you with the space you need. On the other hand, if you want a home that boasts a deluxe swimming pool, you can search for a residence that offers this feature.
Consider where you want to reside, too. By doing so, you can search for homes in a select group of cities and towns.
2. Your Homebuying Budget
You likely have only a finite amount of money that you can spend on a residence. Thankfully, if you establish a homebuying budget, you can search for houses that fall within your price range.
Oftentimes, it helps to meet with banks and credit unions before you start a house search. These financial institutions can teach you about a broad array of home financing options.
Don't hesitate to discuss your home financing options with a variety of banks and credit unions, either. If you check out myriad home financing options, you can select a mortgage that complements your finances perfectly.
3. Your Homebuying Timeline
You may want to create a timeline for buying a house. With this timeline in place, you will know precisely how many days, weeks or months you have to find and acquire your dream residence.
If possible, you should maintain a flexible homebuying timeline. There is no telling when problems may arise as you search for your dream house. And if your homebuying timeline is flexible, you can adjust it at any time.
For those who want to streamline the homebuying journey, you may want to employ a real estate agent as well. This housing market professional will go above and beyond the call of duty to help you find a great home at a budget-friendly price. Plus, he or she can offer expert guidance as you craft a property buying strategy.
Also, as you navigate the homebuying journey, a real estate agent will respond to any concerns or questions. Perhaps best of all, a real estate agent is happy to provide homebuying tips and recommendations that you may struggle to receive elsewhere.
Ready to transform your homebuying vision into a reality? Craft a homebuying strategy today – you will be glad you did. Once you have a homebuying plan at your disposal, you can navigate the property buying journey with poise and confidence.
Rental properties are becoming extremely common in the world we live in today. Many people are realizing the huge profits they can make from rental properties, and the need for these rentals isn’t going away any time soon. If you’ve ever wanted to be a landlord and rake in some cash on the side, you’re not alone. However, buying rental property isn’t always easy and there are some things you should understand before getting the keys to your new home.
Make Sure You’re Ready
The fact of the matter is, owning rental property is harder than it looks. From insurance and laws to home repairs and dealing with tenants, it can all be a very time-consuming and stressful job owning a rental property. And if owning property isn’t your full-time gig, the process can be even more difficult. Make sure that you do your homework and that you’re prepared for anything that can happen regarding your new property. Research everything that needs to be done for a rental owner, then also look up how to manage tenants properly. Also, managing a property takes a lot of time and energy, especially if it’s your first time. It's also important to have the right schedule while managing a property. While you can still have a full-time job, you should have the flexibility to meet with the tenants and take care of repairs or issues when needed.
Keep a Proper Budget
When owning rental property, you’re owning a home that can see damage, which can be very costly. And if you don’t have the money to handle repairs and disasters when they strike, then you could have a home just sitting there with no tenants interested. This is why you should always budget for the unexpected. Some examples of what can go wrong include:
Be Cautious of a Fixer-Upper
While you’ve always had a dream about buying a fixer-upper and creating something incredible, this dream doesn’t pan out for many. That’s because many of these people bite off a little more than they can chew, and they don’t have the time, energy or resources to really build something profitable. Therefore, you should be very cautious before trying this method for yourself. It is possible to make money from a fixer-upper, but it takes tons of work and can be very difficult, especially if you’re buying your very first rental property. Dealing with one of these properties might require spending thousands on materials, hiring professionals, dealing with plumbing issues and possibly dealing with structural damage. While you may be very tempted, try looking for a property that needs a few simple renovations and one that is priced below market value.
Preparation is Key
Before you jump into buying a rental property, consider the three tips outlined above to have confidence throughout the process. This will ensure that you're well-prepared for what's to come. Fixing a home, dealing with tenants and paying for insurance can all be stressful, so it's best to understand these responsibilities before purchasing a rental property.