House hunting can be exciting and daunting at the same time. Buying a property is one of the most important decisions you’ll make in your lifetime. But before closing the deal and signing the papers, make sure you’ve considered other costs, fees, and terms involved in purchasing a particular property.
Home cost is just one aspect of the total cost of owning a home; there are other costs associated with buying a property, such as closing fees, real estate taxes (law varies per state), association fees, insurance, and repairs. Many homeowners find themselves flooded with bills and fees that didn’t seem like a huge expense when they decided to purchase a home. Unfortunately, these costs can take away the joy of living in your dream home.
With that said, here are four fundamental factors that you must always consider before buying a home.
Loan and Mortgage
Most of us aren’t savvy enough to navigate the mortgage process. On top of that, the industry jargon can make it quite challenging, especially for first-time home buyers, in making sure that everything is fair and square.
A highly recommended mortgage brokerage firm will be able to help you sort the legal, bank, and taxes throughout the buying process. This way, you can be sure that you’ve got all the areas covered and won’t miss any step that can delay the acquisition process.
They can also help you find lenders that suit your needs; they will compare lenders on your behalf and come up with a list of potential lenders that works for you. This makes the whole process more convenient and a more enjoyable experience.
Long-Term Plans
When purchasing a home, think of the long term. Buying for what you need right now may not be a sustainable choice, as your needs will change over time. If you’re planning to have children, a two-bedroom home may no longer be suitable in the next five years.
Before you pick a home and sign the papers, think about your plans for the next five to ten years and consider the factors that can affect your lifestyle and finances: children, plans to relocate, job security, income, credit, and financial standing.
These things can greatly affect your motivation to retain the property and continue with the contract. While you can always put your property on the market, it’s not always easy to sell it. It can become a burden if the property stays in the market for too long; you might even have to consider slashing off the price tag to cut down on losses.
Before you finalize a contract, consider your long-term plans and look beyond the needs that you have today.
Size, Layout, and Features
The right home doesn’t just look pretty on the outside; it should also be visually appealing on the inside. It should have the features that you want in a home as well as enough outdoor space for potential future projects. If none of these are achievable, the property should at least allow for customization and have the capacity for green and smart home upgrades in the foreseeable future.
Not all homes are equipped with state-of-the-art home technology, but most modern homes have the space and provision for upgrades. If you’re buying a home in this day and age, it will help to consider these things. Otherwise, your home can quickly be considered “obsolete.”
The land area is often an afterthought when it comes to the decision process, but it should be one of the things that buyers must consider and be given as much thought as the space inside the home. The size of the lot remains the same no matter what type of renovation you do. Thus, it is important to consider the size of the outdoor area to ensure you have enough space for the projects and outdoor design plans that you have in mind.
Location and Surrounding Area
The other permanent and unchangeable factors are the location and the neighborhood you’re buying in. Make sure that you’re happy with the neighborhood and how the surrounding area looks like.
Location is just as important, as it will affect your travel time to work. Aside from that, the proximity to commercial establishments, public transportation access points, hospitals, schools, places of worship, recreational centers, and other places you frequent will determine your ease of commuting. Make sure that your new home is near the places that you frequently visit to avoid experiencing commute stress and spending time in traffic more than you should.
Except for the mortgage which you can refinance, all the other factors discussed here are permanent and unchangeable. Before closing the deal, make sure to consider these fundamental factors, as these can have a huge impact on your overall satisfaction with your property.
