Ten Things You Must Know Before You Buy a House

PUBLISHED: March 20, 2014 • 6 MINS READ

So after years and years of saving, you have finally decided to go ahead and buy a home for yourself. It is a really good decision and let me congratulate you on that! Over the years, property has been considered as the best choice of investment mainly because it is scarce. Unless we humans decide to go ahead and colonize other planets, you can never make more land.

However, there are a few things (scratch that, there are quite a lot of things) that you must know before you throw in all your money into buying a house. If you want to be really thorough and wish to make no mistakes about buying a home, we suggest that you take a print out of this article and carry it with you until the moment where you actually own a house. You can use this as a checklist while you look around for the perfect house.

Assess your finances

This is the most significant detail. You must have sufficient savings that will see you through the purchase of your new home. Some people do have sufficient money to buy a house in cash, however this is not advised as it may become difficult if you need money for something unexpected. It is still your choice. Also keep in mind that purchasing a house will cost more than you planned. Be ready for it.

Decide the type of home

This is usually the most difficult part. You have to give a lot of attention to the kind of home you plan to purchase. If you get this decision wrong, you may end up with Buyer’s remorse. What’s the point in spending all you money on a house that doesn’t suit you needs and make you happy? While thinking about the kind of house you want, give importance to the following details

How big is your family?
What age are your children?
Do you want a flashy, posh home or a little country cottage?
Will you be required to commute a lot?
Are there necessary facilities like hospitals and schools nearby?
Is the neighborhood suited for your lifestyle?
Are you buying a home that you feel emotionally attached to even though it is not suited for you?
Do want a house that comes with expensive maintenance charges?
Finally, will the home you purchase make you and your family happy?

These questions may seem silly but trust us when we say this, a lot of people regret not asking themselves these questions before they purchased homes.

For instance, if you have a rather large family, buying a small house is a posh locale might not be the wisest choice for you. Likewise buying a rather large home somewhere in the outskirts of the city can be a headache if you have school going kids and if there are no no schools in the neighborhood. Hence, there are many factors that go into making a decision about what kind of home you want and also about the location.

If you are not used to the neighborhood in which you plan to buy a home, we suggest that you rent out a property there for a few months to get a deeper understanding of how life will be once you settle down there.Study the home thoroughly: So, you’ve gone through the first two steps and finally made a decision about which home you want to acquire.

The next wise step would be to talk to a few people, assess the value of the home and not just blindly believe the agent. Also, get a CMA ( Comparative Market Analysis) done on your home.
You may also want to visit the home at different times of the day to get a better understanding about the home and neighborhood. What seems like a quiet neighborhood during daytime may turn into a noisy, chaotic block by night.

Get your house inspected

The importance of this step can never be overstated. There is no such thing as a perfect house. Each house is bound to have at least one defect. Hire a professional to find out what this is. Although this may cost you a little, it is much better that you spend money here rather than spending thousands on repairs later on.

Question the sellers

You simply can’t overlook this step. Ask them about everything related to the house. Ask about what problems the house has encountered over the years, ask for records of past improvements implemented, in short everything that you feel you must know.

Ask for bills

Ask for tax and other utility bills,as it would give you an idea about the monthly expenses that you are likely to incur,

Gather all the information you can

Go through newspaper records to ensure that the home is not tied up in any property feuds or worse, ghost-sightings. Although the latter is less likely, the former scenario may prove to be a headache.Talk to the neighbors. Get to know them as much as you can and gather maximum information. Find out if the neighborhood has an association and other relevant details.

Get a solicitor

A lot of stuff are easily overlooked by buyers owing to the pressures and worries they have while they are out house hunting. A solicitor eases your work by doing the necessary research and paperwork that will effectively reduce your load. If you don’t have a solicitor in mind, ask help from your friends and family. They could recommend someone for you.

Get yourself approved for a mortgage

Speak with a few people and consider a few options before you select a mortgage plan. Loan rates can appear appealing on paper, but once you are drawn into it, things may seem a lot different. Once you have decided on the mortgage plans, proceed with getting yourself approved for it.

Get everything written down

This is a logical step to follow to protect yourself. Get every part of the sale in writing. Proceed further only after you are sure that you have a thorough understanding of all the details. Certain terminology can confuse you, so you should either speak with an expert or learn all the jargons yourself.

If you have ticked off all the above mentioned points, It is safe for you to proceed with buying a house for yourself. Remember buying a home is not only a momentous step in your life it is also one that requires a lot of careful planning.

Once you purchase a home, you may want to consider buying a home service contract. As the first year after your purchase is a bad time for additional expenses to occur, it is highly recommended that you get an appliance warranty plan to protect your budget. A wide range of home warranty plans are available in the market today, you can read about our Quick guide for home warranty buyers for some help

We hope this article helped you and may we also wish a happy life ahead in your new home.

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