- Benefits of Buying Your Next Home – Your homebuying goals are as unique as you. The potential financial and personal benefits that go along with buying your next home may include:
- Gaining additional space. Perhaps you’ve outgrown your existing home and need more space for your family, hobbies, or your social life.
- A more manageable space. If you want to downsize or want to simplify your life, you may be ready to consider a smaller home.
- A quicker commute to a new job opportunity. Career changes may make it necessary to move to a new area and find a new home.
- Enhanced luxuries or upgrades. Additional income may allow you to purchase a home with additional amenities.
- Things To Consider – A home is one of the largest purchases many people make. Like any major decision, buying a home requires careful considerations:
Be clear about your purchasing reasons
- Is your family changing?
- Are you down-sizing?
- Do you need to relocate for a new job?
- Are you moving to a new location?
- Do you want certain amenities or features that your current home lacks?
Estimate the cost of selling your current home – Before pricing your home, calculate sales costs,
- The cost of repairs needed to maintain your home’s value. If you have a leaky roof, or need electrical or plumbing work, your sales price is likely to be lower to cover those costs. Consider hiring a home inspector to uncover any hidden problems.
- Making cosmetic improvements to increase the ‘curb appeal’ of your home. Relatively lower cost items, such as painting or landscaping, can make your home more appealing to potential buyers.
- The amount you will pay in real estate commission. Real estate agents receive a percentage of the home sale as a commission. If you are considering selling your home yourself, estimate your time and costs for advertising, showing the house to prospective buyers and handling negotiations.
- Other miscellaneous expenses.
- Is there a prepayment penalty on your mortgage?
- Will you incur the cost of temporary storage for your personal items while showing to potential buyers?
- Have you planned for moving and some packing costs?
Estimate the sales price for your current home
- If your home is priced realistically, you may be able to sell it faster.
- Property appraisers set a price by comparing a home to recently sold, nearby properties similar in square-footage, room number, age, and features.
- Your real estate agent will help you decide on a listing price by getting a list of comparable properties.
How Much Can I Borrow? – (see above)
Loan Qualifying Documents Needed – (see above)