Thank you to my guest poster today Jennifer Bachrach! She is a great resource for mortgage and home finance information! Enjoy!
Don’t Be Left in the Dark, Flick the Switch!
Knowing what to expect as a borrower is incredibly important. It decreases the possibilities for mistakes or unwanted surprises. Ask your Lender, Realtor (Katie Kurtz🙂), or anyone else you are working with lots of questions. Better to know too much than not enough. You should have a clear understanding of the entire purchasing process from start to finish. Will it be necessary to know all the nuts and bolts? No, and you couldn’t possibly, but you should feel comfortable before signing any document and locking in any numbers. If not, ask for clarification. You won’t regret it!
1. Closing Costs- Investopedia.com says, “Costs incurred include loan origination fees, discount points, appraisal fees, title searches, title insurance, surveys, taxes, deed-recording fees and credit report charges” (Closing) Knowing what the closing costs will be upfront is extremely important, for example, if you don’t bring enough money to closing, you don’t close.
2. What you’re qualified for isn’t necessarily what you can afford- You need to take into consideration your life choices and all that it offers, consider both profit and loss. What kind of lifestyle do you want that will reasonably fit into your budget?
3. Geographic Location- Is the school district where you want your children to attend? Does the neighborhood seem fitting? How far is it from your work? Is it safe? (Tips)
4. Recognizing Repairs- Roof, plumbing, insulation, land, etc. (Castle). Use your senses. Smell any sewage or mold? Look for any cracks, leaks, uneven surfaces. Listen to any movements in the walls, water running under the floor boards, is there a lot of ruckus in the neighborhood. Invest in a good inspection to save you in the long run!
5. Staging Tricks- Has the house been staged to look bigger than it really is by using certain furnishings, particular placement of mirrors. Do smells add a cozy feeling in the housing décor? Look to make sure there are enough outlets, storage space, room space that is to your liking, etc. (Top).
6. Interior Design and Layout- Does the house have the type of lighting you want? Is the backyard big enough for a fire pit or a patio, is it steep or uneven? Do the rooms have a good flow? Is the garage connected to the house or detached? Is there street parking? Do you like the floor plan? Do you have a lot of parties or are you an empty nester? How do the heating and cooling systems work? What are the features like in the kitchen and bathroom? Do you like the architectural detail? (Gaskill).
7. Connection- Not only do you need to connect with your new home, you need to still be connected to the world! Does your phone service work?
8. What’s in it for you- Is the washing machine, fridge or large pieces of furniture staying?
9. Ask Questions- There is truly no such thing as a stupid question. Ask why the seller is leaving. When and what were the last services they might have had done on their home, such as gas and electric systems or rewiring (Tobin).
10. Do what you want- listen to your gut and don’t give in to pressure or other’s “urgency matters.” Take your time. This is one of the largest purchases you will ever make, it should be as close to perfect as you can get!
“Closing Costs Definition | Investopedia.” Investopedia. Investopedia.LLC, 10 Jan. 2005. Web. 23 Nov. 2015.
“Tips And Tricks.” – Achieve The Dream. Radien Group Inc, n.d. Web. 17 Nov. 2015.
Castle, Jiordan. “10 Things to Look for When Buying a House.” Esurance Blog. Esurance Insurance Services, 14 Nov. 2013. Web. 17 Nov. 2015.
“Top Tips – Things Not to Forget When Viewing a Property | Homeowners Alliance.” Homeowners Alliance. HomeOwners Alliance, n.d. Web. 17 Nov. 2015.
Gaskill, Laura. “Home-Buying Checklist: 20 Things to Consider Beyond the Inspection.” Houzz. N.p., 19 Aug. 2014. Web. 17 Nov. 2015.
Tobin, Lucy. “The Essential Checklist: 33 Things to Do before Buying Your House.” Evening Standard. N.p., 06 Oct. 2014. Web. 17 Nov. 2015.