The real estate market is starting to calm down, making this a good time to find a home to buy. Pending sales dropped by 9% between August and May.
You still have to contend with buyers with cash offers and low-interest rates. That’s why you need to know what to look for when buying a house.
Keep reading to learn the top things to consider when purchasing a home.
1. A Home That Fits Your Vision
Start your home search with some basic qualifications. Think about the proximity to work, the monthly expenses, amount of maintenance, bedrooms, and yard size.
It’s important to have parameters in mind so you don’t waste time looking at the wrong homes.
2. Quality of Build
Check out the quality of the home. Inspect the foundation for cracks and potential issues. Look at the ceilings and areas around windows for leaks.
If you can, test the heat and air conditioner. Check out the attic for leaks and mold. It could be a sign of major roof issues.
3. Expand Your Search
Competition is fierce in the standard residential market. Everyone looks on Zillow, Redfin, and MLS listings.
You need to think outside the box and broaden your options. People don’t think about buying distressed properties from the Department of Housing and Urban Development (HUD) or getting a foreclosure at auction.
Look for sites that say “buy my house” or something similar to that. They purchase properties and sell them as-is to buyers near market value.
It’s a chance to get into an affordable home without getting into a bidding war.
4. Willingness to Negotiate
In this real estate market, a seller is likely to have multiple offers for the home. They hold a lot of power in the transaction.
That doesn’t mean that you have to compromise on your end. Many buyers forgo inspections and other important items just to compete with cash buyers.
You need to look at a seller’s motive to sell and their willingness to negotiate on the deal. You should be willing to negotiate as well, but know what your dealbreakers are.
5. Don’t Do Anything Before the Close
Once your offer gets accepted, you’re going to think ahead about furnishing the home and making minor renovations.
It’s an exciting time for sure, but don’t get carried away until the home closes. Don’t apply for home renovation loans or any sort of credit before the close.
Your lender is likely to withdraw the loan offer, throwing the entire purchase into chaos.
Looking for a Home to Buy
Are you ready to find a home to buy? It’s not an easy process, but there is a little less competition on the market.
Knowing what to look for before buying a house is useful. You stand a better chance of getting your offer accepted and closing on the deal.
Be clear about what you want in the home, inspect the quality of the build, and get creative in your search. You’ll be in a good position to find the perfect home.
For more real estate tips, check out some of the other articles on this site.