Knowledge Is Power: Five Things You Should Know About Home Buying
Buying a home is not a simple process. There are a lot of hoops to jump through, and first-time home buyers are often unprepared for how taxing the process can be. To help them prepare for the rigors of the home-buying process, here is a guide to five things that home buyers should know about purchasing a home.
The traditional down payment for a home used to be 20 percent of the purchase price, but these days it is more often 10 percent. It pays for home buyers to save up as much as possible for their down payments. A larger down payment will allow borrowers to get a lower interest rate on their mortgages, which will save them tens of thousands of dollar over the life of the loan.
Think About the Future
When you are looking for a new home, you can’t just think about today. You have to think about the future. Not just tomorrow or next month, but years and decades into the future will have to be considered when you are buying a home. You have to think about things like room for kids, schools, future job possibilities and things of that nature when you are considering homes to buy.
Look for Amenities
When you are buying a home, look for amenities that will give the homes you are considering purchasing added value. Things to look for include a large garage, steam showers, pool, hot tub, LifeShield home security system and any other amenity that makes the home more attractive. Remember that it is worth it to pay a little more if you find a home that is outfitted with a lot of nice features like this.
On the other hand, you may want to consider a home with no amenities if you are handy. You can pay a lower price for a fixer upper, and you will save a lot of money by doing the repairs and upgrades yourself. When you buy a home that is cheap and fix it up, you can turn a huge profit when you sell the home in the future.
If there is one thing that is most important when you are selecting a home, it is location. Location can make or break your enjoyment of a home. Even if you have the nicest home in the world, you will not enjoy living there if it means that you are constantly driving to get to work and other activities. Find a home in a good location. You can always make changes to an existing home to fix it up, but you can never change its location.