What to Consider when Buying a House
Purchasing a home is probably the biggest financial decision you will ever make. Taking the time to ensure both your finances as well as the house itself are in good share are crucial. Not all mortgages are created equal so shopping around for the best one can save you money. Equally, not all houses are created equal so going through a check list of important aspects to look for when buying can save you a big headache and your wallet down the road. Follow these steps to help you make the right decisions.
1. Not all new homes are in good shape and not all old ones are in poor shape. Regardless of if the house is brand new or 80 years old. You must pay the extra few hundred dollars and have a house inspector go through it. A poorly built house can have many problems that will only cost you money. Never overlook this step, they may reveal information about it that will make you not want to buy it, or show you that it would be a great house. An inspector will be able to determine things like the overall structure of the house with issues such as:
- hidden damage
- walls plumb
- adequate ventilation
- moisture problems
- roof issues
- attention to details and quality workmanship
- kitchen and bathroom fixtures
- electrical issues
- is the building up to code
- is the plumbing in good order
- heating, insulation
Perhaps you are ok with a house that needs some work on it, as many do but you just need to know this when purchasing. Some people will buy a home and figure it will be good for 20 years without any work needed other than minor cosmetic work. Not knowing what you are getting into may really cost you dearly. Also don’t assume that any repairs will be easy to do without really knowing. Also be sure to see the utility and property tax bills.
2. Look around and find the best deals on a home loan. Different financial institutions provide basically the same services but there are details that differ. These include things such as how much is necessary as a down payment. Do you have the option to pay off your mortgage quicker than originally signed up for with out a penalty? Also consider your own finances here. It is not recommended to stretch yourself as thin as possible just to have a nicer house. Doing this may result in you not being able to make the payment and ultimately losing it. Know what you are getting into when you sign the mortgage and be realistic about your paying it back. Work out all the costs of buying visit Newcastle Permanent for more information on the financial aspect of purchasing.
3. Check out the neighborhood. Are you comfortable with what you see? Sometimes there are nicer homes in rougher neighborhoods or rougher homes in nice neighborhoods. Just make sure you are aware of what is around you.
- What are the crime levels like?
- Talk to your neighbors.
- Visit the neighborhood at different times of the day
- Is there good infrastructure such as sidewalks and roads or are these in disrepair.
- Consider asking the municipality about any possible improvements in that area.
Basically you really want to do all your homework before jumping into such a big decision. There is a lot at steak when you buy a house and while it can be a wonderful experience, it can also be a nightmare if certain issues are not carefully considered. See CNN’s tips for buying a house.