This is a
quick read article on the top tips for buying, collected from buyers themselves
over the many years. All issues are covered in detail in my buying guide and
other articles but it is worth taking note of. After all if this is what other
buyers are saying……. Experience is often gained the hard way.
Tip #1: Research Is The Key To Discovery
sellers won't call you with an offer to buy a maintenance-free home with a below
market price. You have to find the gems yourself! Use your appointed buying
agent to pull in al their resources to find the best buys out there. Browse the
property sales adverts to get an idea of what is available – let your agent
know which appeal to you so that further information can be obtained. Avoid the
nightmares by learning how best to buy and maintain a home.
Tip #2: Make A Plan And Get Pre-Qualified
important decision needs to be clearly thought out. Developing a home buying
plan can help you focus on the important factors and organize the entire
process. You may even want to use a binder with sections on house hunting, home
financing, service providers, etc. Loan pre-qualifying helps you determine the
home price you can afford and presents you as a genuine prospect to the seller.
Planning your actions and getting pre-qualified will keep you out of the panic
mode and allow you to take advantage of opportunities. A thorough plan will
save both time and money!
Tip #3: Value, Value, Value
of massive annual appreciation have passed for a while. Homebuyers in the
1970's onwards, particularly in the Port
Elizabeth region, benefited tremendously from what seemed like
ever appreciating home prices. Nowadays, you're looking at slower growth and of
course who will forget the effects of the recession we are emerging from. The
classic rule of buying the worst house in the best neighbourhood still applies.
If you buy with an eye towards improvement, you can customize the home to fit
your needs. The saying, "make money buying a home, not selling one,"
should keep you focused on the long-term importance of the purchasing price.
Tip #4: Create A Top 10 List Of Amenities
shopping for a home, list the features (fireplace, fenced-in yard, new
appliances, etc.) that are most important to you in deciding on which home to
buy. Establishing "your criteria" early on will save time shopping
for inappropriate homes and may keep you from buying a home on a whim. As
Tip #3, your
top reason for buying a home should be the value you are getting. Some of your
top 10 amenities should logically be sacrificed if an incredible value is
available. Use the checklist provided in my buying guide to do this.
Tip #5: Sign A Contract That Protects You
that the contract you put on a house allows you to arrange financing, inspect
the home and negotiate any problems that you uncover. Ensuring that the
contract you sign will minimize potential legal battles will let you swim in
your new pool with your family and neighbours instead of with the sharks.
Tip #6: Put Yourself In The Seller's
about to make one of the most important decisions that will affect both your
life and the life of the seller. If you take time to understand the reasons the
seller bought the home, their reasons for selling, and the home improvements
they have or have not made, you'll be in a better position to evaluate the home
and make a decision. Ask your agent if they have any inside information
regarding the seller.
Tip #7: Compare Finance options
One of the
biggest decisions to make before putting a contract on a home is how to finance
the purchase. There are many lenders competing for your mortgage business and
the days of simply walking into your bank and negotiating with the loan
department manager are over. Create a chart that lists the different types of
loans and fees options available.
course, you can apply for a loan over the Internet or even use a Bond
Originator to shop for your loan with hundreds of lenders. See more detail under
the finance section.
Tip #8: Inspect the home properly
proper look round. Use the checklist I have made available in the buyers guide and
scrutinise the home you intend buying, with a critical eye. Many of the faults
you see will be minor and quite acceptable but by having a good hard look, you
can avoid major problems later.
it is hard to believe, most people are quite prepared to pay for inspections
before buying used cars but hesitate when making the biggest investment of
their lives - their homes. Paying for a qualified home inspection before you
buy a home isn't just spending "a little extra" for peace of mind;
it's becoming recognised acceptable practice for anyone who doesn't want to
spend thousands of rand for repairs.
buying guide section on inspection for suitable inspection companies
Tip#9: Reduce your number of
just found the house you want to buy, and are feeling completely thrilled and
confused at the same time. You trust the agent who helped you and feel that the
advice you received is solid. But you also want to get opinions about the house
from your best friend, your parents, your hairdresser and your Uncle Bob, who used
to be in real estate once.
If you get
input from too many sources, you could find yourself even more confused than
you already are. Your best friend can provide moral support, but might not know
the market in your area. Your parents may go into shock because they feel that
they got so much more house for their money 30 years ago--and it cost them a
fraction of the price you are going to pay.
though Uncle Bob passed the real estate exam back then, his insights won't be
as relevant as those of a professional who is currently working the market. It's
not that you shouldn't consult your family and friends--just don't go
overboard. Rely on the advice of professionals you trust--a structural
inspector, loan officer, and a good real estate agent, so that you can feel
comfortable about having made an informed decision.
Tip#10: Use a Property Network Agent
Our opinion only
of course But if you are looking for an agent that is fully
committed to integrity, professionalism and service, then we are your
choice. Read a little bit more about what makes our agents different.
For more detailed information on Finance issues go here Go back to Buyers main page