home buying tips

Six Tips For First Time Home Buyers

Six Tips for First Time Home BuyersBuying a first home is often fraught with uncertainty and stress. The home buying process may be made easier and less stressful with these tips for first time home buyers.

1. Don’t Stretch Your Budget:

Figure out how much you are able to comfortably afford before looking for a home. A $1000 a month rent payment does not mean you are able to afford the same mortgage payment. Owning a home has increased costs over renting. Taxes, insurance and unforeseen maintenance costs will add up to higher expenses. Consider all of these factors when deciding on a home budget. A mortgage calculator will help determine these costs.

2. Find A Real Estate Broker:

Find a reputable real estate broker. Real estate brokers will help a prospective buyer find the perfect home. Good real estate agents know the local marketplace and whether the house is for sale at a good price. They will be aware of what is available and how much is a fair price for the amenities within the home. Seasoned real estate brokers will help walk the home buyer through the negotiating process to ensure the best possible purchase price.

3. Obtain Mortgage Pre-approval:

Have financing in place before stepping foot into any home. Pre-approval is different from being pre-qualified. Pre-approval means financing up to a set amount is guaranteed by the lender. Pre-approval letters from a mortgage company offer the buyer an advantage in the negotiating point of the home purchase. Potential buyers will be able to show they are serious and have funding in place. This allows them leverage over another potential buyer who does not have mortgage pre-approval.

4. Have A Home Inspection:

Home inspections are a vital part of purchasing a property. A good inspector will look for a variety of issues to help determine if there are any problems within the home. Issues found by an inspector will allow the buyer the ability to renegotiate price. Buyers may walk away from the house if severe issues are discovered and they do not feel capable of dealing with the problems, and the seller isn’t willing to fix problems found by the home inspection.

5. Remember Closing Costs:

First time home buyers need to remember closing costs. These fees typically range from two to four percent of the total loan amount. Closing costs depend on how many points the lender is charging for the loan. Buyers can sometimes negotiate closing costs with the seller paying some or all of these fees. Use a closing cost calculator to help determine your closing costs.

6. Save Some Money for Home Repairs:

Sure, putting a big down payment on your new home is a good thing. But have you thought about home repairs? It is not smart to put all of your money into your down payment, or to use the rest to make improvements. Surprises abound for first-time home buyers who may not be aware of all the ways their new home can swallow their money. Gone are the days when many homeowners could dip into their equity to replace a roof or septic system. Be proactive and keep some savings aside for unexpected home repairs, even if the inspection came up clean.

Talk to us about buying your first home. We are experienced in all these areas and can help you make the first home buying experience enjoyable, not a nightmare.

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Home and Commercial Inspections in the Columbia SC area is our specialty! Every year we help hundreds of clients save tens of thousands of dollars, by responsibly finding and exposing conditions that threaten property, value and safety. To learn how we may be able to serve you, please click and read, or call 803-261-5810.

Buy a House Now! Right Now!

Buy a House NowIf you are anywhere near the thought of buying a house, you should do it right now. Today.

Rates are crazy low, home prices are crazy low, and supply far exceeds demand. There is no better time. And we’re not the only one saying this.

Remember John R. Talbott? He wrote “The Coming Crash in the Housing Market” (2003) and “Sell Now! The End of the Housing Bubble” (2006). Well, guess what he’s saying now? Buy, buy, buy! Or refinance, refinance, refinance!

Talbott makes some great points about how current home prices compare to construction and replacement costs and how incomes are currently comparing to rent prices. If you’re on the fence about buying or refinancing, reading the complete article may help you make up your mind.

Then call one of our Broker Experts, who can tell you how all this applies to your specific situation.

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Home and Commercial Inspections in the Columbia SC area is our specialty! Every year we help hundreds of clients save tens of thousands of dollars, by responsibly finding and exposing conditions that threaten property, value and safety. To learn how we may be able to serve you, please click and read, or call 803-261-5810.

Buying Columbia SC Real Estate Logically

Buying a home logicallyAnyone who has ever bought a home will tell you, emotion plays a big role in the decision. However, if you don’t approach the home buying process logically, you could end up making some major mistakes.

Probably the biggest area most Columbia SC home buyers make mistakes with is when it comes to choosing the right mortgage.

The first thing you must do is get a good mortgage broker. There are many lenders available for a mortgage if you have decent credit, and it can be very confusing if you are going it alone. A mortgage broker has experience and connections to find you the very best rate available. The value of the home you are purchasing is only part of the cost, and even a small difference in mortgage rates can make a huge difference in savings.

Get pre-qualified for your home loan. There’s nothing worse than finding your dream house, only to realize you can’t afford it. Before you look for a house, get pre-qualified, or better yet, get pre-approved. Have all the pertinent information, such as, employment history, credit history and outstanding debts available, because your mortgage broker is going to need them. The best mortgage lender will then be able to tell you exactly how much you will qualify for.

Keep an eye on the economic market. Buying a home when the market is lean like it is now is a very smart move, if you can afford it. Home values rise and fall with the economy, so if you buy a home when the economy is low, chances are very good the home will increase in value and you’ll realize that appreciation later on.

There are many more important home buying tips, and we have them on this site. Just click the home buying tips link under our categories section to find more important home buying tips.

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Home and Commercial Inspections in the Columbia SC area is our specialty! Every year we help hundreds of clients save tens of thousands of dollars, by responsibly finding and exposing conditions that threaten property, value and safety. To learn how we may be able to serve you, please click and read, or call 803-261-5810.

5 Reasons To Buy A Home

Recent events in the housing market have many people questioning if home ownership is still something to aim for. Even as the nation continues to recover from the economic downturn, the benefits of purchasing a home of your own remain as strong as ever.

1. Good Investment

Renters receive no return on what they pay out in monthly rent – it’s virtually money out the window. Even though renters are paying for living space, committing to a home purchase and monthly mortgage creates much more potential for a return on the investment. As you pay your mortgage each month, you are building equity and increasing your net worth. Equity is the value of the property that you own or what you have paid off each month. A home’s equity is also combined with the amount of appreciation, or amount your home has increased in value over time.

Building up your home’s equity also opens the door to mortgage refinancing and home equity loans.

Homeowners then have more financial flexibility towards financing large expenses such as remodeling, college tuition or debt consolidation. Of course it’s always possible that the value of your property will go down and not up, as many homeowners throughout the country have experienced over the past few years. Still, if you look at the value of real estate over the long term it has gone up over time. Like any investment buying a home involves risk – research the real estate market in your area to help you make a decision that feels right for you.

2. Tax Benefits

As you diligently pay your monthly mortgage, your tax advantage increases over the years. When you are paying for your own home you have the ability make a deduction on your federal income tax return for what you have paid towards the interest on the mortgage and property taxes. Some states also make allowances for additional deductions. It pays to check with your accountant or tax advisor in regard to your allowable state deductions.

3. Financial Control

Paying for a home of your own prevents you from being subjected to surprise rent increases, especially if you have chosen a fixed rate mortgage. It also removes the stress of lease renewal. For many, becoming a homeowner is a solution for beating the high cost of retirement. It is entirely possible to pay off your home and live out your retirement years rent-free! Of course, as long as you own the home you will be responsible for the property taxes and insurance costs.

4. Freedom

Let’s face it, renting is fine for many, however, there usually comes a time when you want to call the shots and be in control of your personal space. Most rental situations dictate everything from paint colors to pets to window treatments. Forget about remodeling or making home improvements, and why would you want to invest time and money in to a place that is not even yours? As a homeowner you can also resolve issues on your own, such as home repair and maintenance. Owning a home of your own allows for personal expression and control.

5. Pride of Ownership

There is a great deal of satisfaction that comes from buying a house. It is an experience that provides independence and privacy. Because it is typically the largest single investment that most of us will ever make, it remains an achievement to be proud of.

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Home and Commercial Inspections in the Columbia SC area is our specialty! Every year we help hundreds of clients save tens of thousands of dollars, by responsibly finding and exposing conditions that threaten property, value and safety. To learn how we may be able to serve you, please click and read, or call 803-261-5810.

Home Buying Negotiating Tips

When it comes to buying a home, the ability and willingness to negotiate is a must for both the buyer and seller. In general, sellers ask for more than they are actually willing to accept and buyers offer less than they are willing to pay. The trick is to find the perfect balance so you, as a buyer, feel good about the purchase price without leaving the seller feeling insulted.

Real estate is a business that either favors the buyer or seller, hence the terms buyer’s market and seller’s market. When negotiating a purchase price, it’s important to know which of the two you are in. As the buyer, you will have the best chance at a successful negotiation if you research the price of other comparable homes in the area before making an offer.

Not every offer is accepted, so don’t be disheartened if your first offer isn’t a winner. In some cases, the seller will make a counteroffer for your consideration. Have you ever heard the old saying, “never take the first offer?” The same is true in real estate, and almost every seller knows it. Your first offer is likely to be less than you are actually willing to pay, which leaves you some bargaining room.

There are a number of reasons why a seller may choose to reject an offer, including a feeling that the offer was just too low, the house is newly listed on the market or another offer may be higher than the one you made. In some cases, sellers may also reject an offer that includes owner financing or other requests that are impossible to meet. One example may be an offer that requires the house be available within a certain amount of time. Most contracts require that the seller move out within 30 days, but anything less would require negotiation.

Before you sign anything relating to a real estate transaction, make sure you read over every detail of the agreement. If you have any questions, ask your real estate agent. After all, real estate is their business and they are there to help you through every step.

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Home and Commercial Inspections in the Columbia SC area is our specialty! Every year we help hundreds of clients save tens of thousands of dollars, by responsibly finding and exposing conditions that threaten property, value and safety. To learn how we may be able to serve you, please click and read, or call 803-261-5810.

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