Looking for a New Home? 5 Factors to Consider before Putting in an Offer

If you are in the market for a home, there is a lot that you need to consider before offering to buy your preferred property. Failing to go through these variables could result in paying too much for the home. It could also result in buying one in a location that doesn’t fit your needs.

Can You Afford to Buy It?

Before you even consider a home you want to make sure you prequalify on your loan. This should help you know what kind of homes you can and can’t afford. When creating a home purchase budget, don’t forget to account for taxes, insurance and closing costs. You should also account for interest on the loan and for any maintenance that needs to be done. Finally, think about how much it may cost to furnish or upgrade the home after buying it.

Is the Home in a Preferred Location?

Make sure that you know everything that you need to about a neighborhood before moving in. Ideally, you will visit the house once during the week and again on a weekend to see if there are any noise or traffic issues to worry about. You can also learn more by reading crime reports or any available literature about the school or public transportation system.

Can I Get Sellers Concessions?

Depending on market conditions, a seller may offer concessions to make it easier to afford your down payment. However, if a home receives several offers, it is less likely that he or she will be agreeable to taking less than full market value. In a hot market, it may not even be possible to add a mortgage contingency to the offer. In some cases they may also be willing to help with the closing costs of your home. It really just depends on the market and how easy going the seller is.

Is Buying a New Home the Right Decision?

If you can’t find anything that you like that already exists, you may be able to consult with new home builders to create a house from scratch. Real estate agents such as the ones from Hunt Midwest can work with you to determine if a new home best meets your needs.

Will the Home Meet My Needs Going Forward?

It is important to know that your home will meet your needs now and in the future. In fact, this is probably the most important part. This means that you may want to be sure that there will be space for a child, an office or a dog that you adopt at some point after the deal closes. Your new home should be able to give you just about everything you want and more. And if you have done it right, it should be a place you and your family can grow into.

Once an offer is accepted and the deal closes, you are officially the owner of a home. This means that you are responsible for maintaining it and paying the mortgage no matter how many issues it or the neighborhood it is located in may have.