There’s always a home up for sale somewhere, but with home prices on the rise here in the USA, it’s more important than ever to make sure that you get value for your money. This is, after all, one of the most expensive purchases most Americans will make in their lives.
Unfortunately, with the kind of hectic retail market that occurs here, sometimes the fear of missing out on buying that perfect home can result in hasty decisions. That’s why it’s important while looking at different properties to try to keep these four ideas in mind as the search continues.
Be Practical About Finances
It’s been over 13 years since the housing bubble crash of 2008, but an important lesson remains from that turbulent period in the American economy. Homebuyers are incredibly vulnerable if they overextend themselves and try to buy homes beyond their reach, with mortgages they can’t feasibly maintain.
It’s a tough decision, but while it’s understandable that everyone may want to live in a huge house in the best neighborhood, be realistic about attaining that. Buy within your means, look at your income and think seriously about a mortgage you can live with and pay off.
Get Preapproved
In keeping with making sure you can afford a mortgage, once you know what you can manage, get preapproval for that mortgage. This can be a critical step in house-hunting since it can sometimes mean the difference between buying the home you want and losing it to another buyer that is better prepared to move fast.
With a preapproval, this means a lender has already agreed, in principle, to issue a mortgage once you need it. If you’re interested in a home and are already preapproved, you can move on the purchase fast. If you don’t have preapproval, you need to apply for a mortgage first and hope it is approved. This takes time, and may not go in your favor.
Get A Home Inspection
Even if you feel you’ve found the perfect home, and the price is right, and you’re ready to move onto the purchasing phase and think about moving, pause. Only move to the home purchasing phase conditional on a passing home inspection.
This is critical, because a home may cost far more than the sale price if there are aspects of it that will require sizable additional investment to address. If the home has asbestos, for example, this will need to be removed, as asbestos is carcinogenic, and inhaling asbestos particles leads to cancer. If the foundation is structurally compromised, the home will, over time, shift and this can lead to cracked walls, uneven floors and other issues that will lower the value of the home and even impact its safety if it’s not addressed. Always make sure that you’re not getting into additional surprise expenses to repair your new home by getting an inspection first.
If you’re ready to think about home buying, I can help. Contact me and let me find the right property for you.
