If you are a first time home buyer then you will learn many things during the process. However, many times buyers do not take into consideration some important aspects which play a significant role in the whole decision making process. Let us find out what those aspects are in the following sections.
5 Things First-Time Buyers Do Not Consider
a) Think About Resale Value: At the time of purchasing a house you need to think about its resale value in case there are plans to sell the property within a few years. You will have to imagine who will be your target audience when you list the home for sale.
If you are buying the home in a poor school district or close to very busy street then you will have to keep out families having children from your potential buyers list.
b) Items to Check: House purchase can often be a very emotional process but while evaluating a home you will have to set aside your emotions. To make this task easier you should create a checklist of most important, nice to have and general things.
Keep a copy of this list whenever you are visiting a property and check whether it matches your requirements. If a house looks attractive but it does not have any of your most important things as mentioned in the checklist then taking the right decision will become a lot easier.
c) Consider all the Expenses: Another important aspect revolves around proper budgeting for the property purchase. Apart from principal amount, taxes, interest and insurance, also consider expenditure on commute, utilities and upgrades.
Consult utilities companies and ask for estimated cost for servicing the various facilities available in the house. Will the traveling cost go up? Is the grocery store far away from the house? Take such expenses into consideration and think whether the property is still a good option.
d) HOA Contract: If after a few years you are planning to rent out the property then it will be important to check the homeowners association (HOA) contract. There could be a clause in it which prohibits anyone from renting out their property.
Thus, while buying a home which is part of homeowners association, you should at first go through their HOA contract to make sure there are no such clauses present in it.
e) Staged Houses: Staged properties do look better in comparison to ones which are still occupied. But you will have to look beyond the outer appeal. As for example, a nightstand with lamps beside the bed could be arranged in a way that it increases room’s appeal but the reality could be that there are no plug points close to the night stands.
This would mean that to maintain that appeal you will have to do a complete remodeling, which could be quite expensive. Thus you will have to check structure of the house as well as its layout and look beyond the staging. Forget about paint or ugly wallpapers, you can easily fix them up later on, rather concentrate on checking more important things.
Thus to summarize it can be easily said that it is necessary to take all aspects into consideration while buying a property, more so if you are a first time home buyer. By keeping note of all the facets you will be able to prevent problems after you occupy the house.