As the events of the last few years in the real estate industry show, people forget about the tremendous financial responsibility of purchasing a home at their peril. Here are a few tips for dealing with the dollar signs so that you can take down that “for sale” sign on your new home.
Get pre-approved. Sub-primes may be history, but you’ll probably still be shown homes you can’t actually afford. By getting pre-approved as a buyer, you can save yourself the grief of looking at houses you can't afford. You can also put yourself in a better position to make a serious offer when you do find the right house. Unlike pre-qualification, which is based on a cursory review of your finances, pre-approval from a lender is based on your actual income, debt and credit history. By doing a thorough analysis of your actual spending power, you’ll be less likely to get in over your head.
Choose your mortgage carefully. Used to be the emphasis when it came to mortgages was on paying them off as soon as possible. Today, the debt the average person will accumulate due to credit cards, student loans, etc. means it’s better to opt for the 30-year mortgage instead of the 15-year. This way, you have a lower monthly payment, with the option of paying an additional principal when money is good. Additionally, when picking a mortgage, you usually have the option of paying additional points (a portion of the interest that you pay at closing) in exchange for a lower interest rate. If you plan to stay in the house for a long time—and given the current real estate market, you should—taking the points will save you money.
Do your homework before bidding. Before you make an offer on a home, do some research on the sales trends of similar homes in the neighborhood with sites like Zillow. Consider especially sales of similar homes in the last three months. For instance, if homes have recently sold for 5 percent less than the asking price, your opening bid should probably be about 8 to 10 percent lower than what the seller is asking.
Author:Mary Baggett Phone: 850-524-2777 Dated: July 28th 2016 Views: 519 About Mary: About Mary Baggett
I feel it is important to serve my clients tirelessly from that initial conver...
View our latest blog posts in your RSS reader. Click here to access.
I feel it is important to serve my clients tirelessly from that initial conversation all the way to the closing table, and I do so with integrity. I believe that a good deal should never be one-sided. If you want to list your home, there is someone out there who will love your home. If you are looking for a new home, there is someone out there who is putting your dream home on the market and we would love to facilitate that process for you from start to finish!
Buying or selling a home can be a challenging process because it is a transaction involving numerous parties, steps, and decisions. But, it is more than just an involved transaction; it’s a transition, both in your home and your life. If you are moving, selling a rental, buying an investment property, this transaction is likely only one part of a new chapter in a larger story. Let me help you by making this part of your transition as smooth a process as possible.
I use the latest technologies, market research, and strategies to help you in your Real Estate needs. But perhaps more to the point, I bring our experience. Not just professional experience, but personal experience. I've bought and sold homes, and I know what it is like when it goes well. I also know what it is like when it does not go well. Every transaction is different. I listen to you, bring my experience to bear, anticipate difficulties, and help you through the entire process. From working with lenders, title agents, home inspectors, to closing companies, and much more.
My Mission Statement
To Make the Buying and Selling of Real Estate as fun and exciting as possible while providing the knowledge, sincerity and care my customers deserve.
My 5 Core Values
Looking to buy a home? Here are five essential tips for making the pro
"Mary Baggett helped my fiancé and I sell our first house and find the one of our dreams. Mary was very delightful and responsive to my needs. She was incredibly patient and very thorough when explaining things to help us understand. I would recommend her to anyone!"