One of the biggest financial commitments that anyone can ever make in life is probably buying a house. Apart from searching for the kind of house that you may have envisioned for such a long time, it is also important to be practical in making this kind of decision.
Searching for a new home can be a tedious task. It may take a lot of your time and wear you out looking for the right one. And even though you do those things, there’s still a big chance that you may end up missing a few points.
Despite this, you need to make sure that you have looked through every option. That way, you are assured that you won’t encounter any problems once you move in.
Questions to Ask Before A Home Purchase
To help you out in deciding to buy a house, here are a few questions to guide you.
How long has the house been on the market?
You should know how long the house has stayed on sale, because this could be a big hint of what the actual situation is. A property that stays long in the market may have some issues that prospective home buyers may have found very impractical to spend on.
How much is its cost compared to the market value of nearby houses?
Having a beautiful house should not be the only criteria in looking for a house. Compare the market value of nearby houses.
Property prices may invariably change over the years, particularly if the location is one of the sought-after areas for residential living.
You should consider the following factors: proposed new developments, proximity to commercial offices, schools, investment growth in the area, and the general state of the neighborhood. Additionally, determine if the cost of the house includes any pre-installed appliances such as dishwasher or washing machine. You can actually save a few more if these appliances were included.
Can I afford the mortgage?
On a practical standpoint, this is the most important part of your decision to own a house: How much mortgage can I afford FHA? Let your realtor do the math for you to determine if your budget can allow you to spend for the mortgage on your new home.
What is the current condition of the house?
Some of the properties that have been listed for too long may not be visited that much by their homeowners. Therefore, it is possible that there may be infestation of termites and other pests that may affect the overall condition of the house.
Does the house look outdated?
Some homeowners may put up their properties for sale due to the home’s age. Dated houses may not be as attractive to buyers, since most houses of this type will definitely require additional financial cost for renovation and updating. This may translate to higher home warranty coverage costs.
How much do I expect to spend for utilities in the property?
Although the size of the family may be a big factor in determining the cost that you may spend for utilities, it is equally important to know how much it would cost to be living in such size of a house. You may be able to calculate the affordability of living in that home by matching it (as well as other regular expenses) with your income.
Does the area have any hidden problems?
Is this one of the best places to invest in real estate? Sometimes, a house or property may be listed for too long because of some existing issues. These may not be particularly about the property itself, but within the neighborhood. Examples include busted utility pipes in the community that have not been fixed for so long, or noisy neighborhood due to gang wars.
You can ease yourself off the burden of finding your dream home, if you prepare a set of questions for your realtor to answer. This way, you do not just prepare yourself living in a new place, but it also includes making yourself more prepared on what to expect to spend for the next few years without being surprised by unexpected financial issues.
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