Monday, January 28, 2013

Avoid The Pitfalls Of Buying A Fixer Upper

By Julie Brown


One issue that potential homeowners are concerned with is purchasing a house that will keep, or increase, its value over time. Here are a couple of helpful tips on the subject.

Research rental properties. If you are thinking about buying a rental property, look at the records for this pertaining to the property for a couple years back or more. Doing this allows you to see if the seller is accurately representing the profits associated with this property. A lender will probably also want to look at an income verification before issuing a loan to purchase the property.

If you already have an approval letter, a seller will be more interested in your offer. On the other hand, if you are not approved, this can extend the timeline of the purchasing process, which can result in additional costs.

A period of uncertain employment is really not the best time for you to look at purchasing a home. As soon as you sign your mortgage papers, you become responsible for the payments on the property, no matter what your circumstances are. If your work prospects are uncertain, at least have enough in the bank to cover several months of payments.

Get some information about the housing market in the area. Check websites including City-data.com to find out about foreclosed homes, median selling prices, housing backlogs and the average time on the market for homes in your Zip code. Other things you may want to investigate are local unemployment rates, income levels and schools. The truth is, if the house is nice and is in a good neighborhood, it can overcome some of neutral or negative traits of a community.

If you get involved with investing in foreclosed properties, having an attorney who specializes in real estate might be something to think about. You need good legal representation because complications during foreclosure deals often arise. You can actually save a whole lot of cash in the end.

When you're committed to purchasing a property, be realistic and patient about your available opportunities. The right property for you may not come around for awhile.

Plan your questions in advance when you sit down to talk with a potential real estate agent. Make sure they're familiar with the neighborhoods you're interested in, and ask about how many homes sales they were involved in. A good agent will be happy to answer these questions for you.

Always get a home inspection, even if your bank doesn't require it prior to issuing a mortgage. A professional inspection can tell you important facts about a property you are considering. It is important that a home inspector gives your future home an objective assessment before purchase; there are numerous problems that can arise that an untrained person may not see.

These tips will help you buy real estate that's right for your purposes. Use this advice to ensure that you are getting the property that is right for you. Be a confident buyer now that you are aware of what to do.




About the Author:



No comments:

Post a Comment