Home Buyers Tips

If this is your first house, chances are it will not be the last one that you will buy. As you delay your purchase, home prices will probably continue to rise and quite possibly, interest rates will too.

Before you start looking for a home you should ask yourself a few questions. Starting with the obvious: LOCATION. Where do you want to live? Do you want to be close to schools, shopping, or work?

What kind of house would you like (need)? Are you looking for a particular style? How many bedrooms and bathrooms do you want? Do you want a yard?

How much house can you afford? Have you consulted a Realtor or mortgage lender to determine the size of the mortgage you would qualify for?

     Getting Started

PREFERENCES:

Rate each of the following as: A - must have, B - high priority, C - medium priority, D - low priority.

___ Style of house - one story, two story, split level, etc.
___ Size of yard
___ Number of bedrooms
___ Number of baths
___ Bath in master bedroom
___ Eat-in kitchen
___ Separate dining room
___ Basement (Do you want a finished basement?)
___ Fireplace
___ Garage (1 car, 2 car)
___ Windows in the kitchen
___ Windows in the bathrooms
___ Plenty of sunlight in the other rooms
___ Maintenance free windows, gutters, trim, siding
___ Lots of closet space (walk-in closets)
___ Adequate storage (attic, crawl space, etc.)
___ Trees on the property and in the neighborhood
___ Children in the neighborhood
___ Air-conditioning
___ Type of heating system
___ Porch or deck
___ Dishwasher, garbage disposal
___ City water or well water
___ Septic system or sewers
___ Fuse Box or Circuit Breakers


EXAMINING THE HOME:

Note: If any of the following items are unacceptable, it doesn't necessarily mean that you should not buy the house. You can negotiate the cost of the repairs and/or negotiate the price.

Remember, there is no such thing as a perfect house. As any home owner will tell you, something is always in need of fixing or upgrading. What you want to do is protect yourself from any unexpected large expenses. You should also arrange for a home inspection to be made by a professional prior to your purchase.

OUTSIDE:

Do not just rely on your impression upon seeing the home for the first time. In looking beyond the "curb" appeal, you may be able to get a great deal on a home that can be enhanced with just a few improvements. Things like bushes that aren't trimmed or an unkempt lawn are two examples of improvements that can be made with a minor investment of time and money.

Ask the age of the roof and whether it leaks. An old roof or one that has several layers of shingles can mean an expensive repair in the near future. A properly ventilated attic or crawl space will extend the life of a roof. (A roof can usually have 2 to 3 layers of shingles before it needs to be completely replaced.)

Check the gutters. Are they pulling away from the house?

Check the foundation. Look for signs of water or wetness in the basement. Vertical or diagonal cracks in the foundation are not usually serious, but horizontal cracks can be.

Windows and doors should open and shut easily.

Check the caulk around the windows and doors.

What's the condition of the siding? Will it need to be replaced soon?

Are the outside steps pulling away from the house?

How is the driveway? (Unless they are new, blacktop driveways will usually have some cracks. Look for major cracks and large pieces of missing blacktop.)

Is the landscaping in good condition?

INSIDE:

What is the floor plan like? Is it suitable for your family? How about the room sizes? Are they big enough ... or too big?

Check the water pressure by turning on several faucets at the same time, and flushing the toilet. Check under the sinks for water leakage. Check for signs of water on the ceiling and walls (stains and peeled paint).

Check the number and location of electric outlets.

Ask about insulation in the house.

Are there stains in the tub or sinks?

How old are the appliances and utilities (hot water heater, furnace, dishwasher, washer, dryer, stove, refrigerator, air-conditioner)? A furnace can last from 25 to 30 years. An air-conditioner will last for about 15 years. A hot water heater will last about 10 years. These are just estimates. The life span of any appliance depends on how well it was made and whether it has received proper maintenance.

Remember, if you like a home that is in need of repair, you can negotiate the cost of repairs and/or the cost of the home. Don't just walk away from a potentially good buy.

     Here are a few tips to help you get organized:

Browse through real estate advertisements in the newspaper and Homes magazines. This will give you a good feel for the types of homes that are on the market and what they cost.

Visit open houses on the weekend. It doesn't cost anything to look, and looking at a few different homes might give you some ideas for things you'd like in a house but haven't considered.

Start saving money - you'll need to have cash on hand for a down payment and closing costs.

Don't incure any additional debt. Pay down your credit cards - and don't apply for any new ones. Don't make any major purchases on credit - buy the furniture or car later.

Contact a Realtor. Your Realtor can help you determine how much you can afford, and they can provide you with information on homes that may interest you. The Realtor will also help you complete all of the necessary forms when it comes time to make an offer.

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