Buying a home is a big decision. No matter if it's your first home, retirement home, or a vacation home. Making sure you buy a home the right way and for the right price is key for your peace of mind. Here are 7 secrets most homebuyers don't consider when purchasing a home here in the North Carolina mountains.
Secret #1 - Leave Your Money Alone
Your credit score is key when it comes to obtaining a loan. If you've decided to buy a home in the next three to six months, don't go out and open new credit cards or make big purchases like a new car. Lenders want to see your financial picture is stable for a period of time to ensure you will be able to afford the home you are buying.
Secret #2 - Get Pre-Approved Before You Get Serious About Looking
One of the first things I ask homebuyer clients "Are you pre-approved already?" Unless you're paying cash for your home purchase, you'll need to speak to a local lender about getting pre-approved for a home loan. Make sure you're open and honest with the lender and discuss not only loan amounts and payments but what it is going to cost to get the loan. Every lender is different in what fees they charge and the requirements for escrow deposits. I can assist you in evaluating those costs so that you can make an educated decision on the best lender for you. I also have a list of great local lenders that know the mountain home market and can assist you in obtaining a loan.
Secret #3 - Choose the RIGHT Home for You
We all love watching those house hunting shows on TV and looking at the biggest and nicest homes on the internet. But when it comes to choosing the right home for you, sometimes the biggest and nicest home is not the best home suited for you and your family. Consider things like drive time to work and shopping, how much lawn maintenance is required, or what it's going to be like getting in and out during winter months when we get snow and ice here in the mountains.
Secret #4 - Consider All The Costs
With homeownership comes added costs. Some of those costs can be expected while others cannot. You will be responsible for costs like taxes, association or road maintenance dues, and home insurance. Also, you need to have an emergency fund set aside for unforeseen repairs. If a hot water heater or the refrigerator stops working like it's supposed to, you will be responsible for those repairs. We can discuss common costs associated with repairs and how a home warranty can protect you when something after you've closed on your home, needs repair.
Secret #5 - The Art of Negotiation
When you're ready to make an offer on a home, the initial offer needs to be based on two things: what you can afford and what you think the property is worth. The initial offer needs to be fair and not offensive to the seller. The last thing you want to do is start the negotiating process off on the wrong foot. Before we submit an offer I will perform a market analysis of similar homes in the area that sold recently. Based on that data, you will be able to make an informed decision on an offering price.
Also, before you get into negotiating back and forth, make a decision on what you're willing to pay for that home and what you can really afford. You don't want to get into a home and be house rich and cash poor. I always ask my clients when it comes to discussing the budget, what are you comfortable with paying per month not what the lender said you could afford.
Secret #6 - Give Your Home a Proper Physical
Here in North Carolina, we have what is called a "Due Diligence" period. During this period you will have the ability to inspect the home. I suggest every homebuyer gets a home inspection, possibly a survey, and a few other inspections we will discuss once finding the perfect home. After getting the home inspected you will receive a report and it may suggest some other inspections by licensed professionals. By spending the money to get the home properly inspected you get peace of mind and it may save you thousands of dollars down the road.
Secret # 7 - Pretend You Already Live There
*Disclaimer* I'm not suggesting you move into the home. But it's definitely wise to drive by the home during different hours of the day. Especially if you need to know how views will be affected or if you plan to grow a garden and need to see how much sunlight an area receives. Also, it's smart to check out drive times to the grocery store, your workplace, or maybe to your doctor. Here in the mountains, we judge everything by drive time, not mileage.
I hope you found this article helpful and informative. If you have further questions, feel free to give me a call at 828-773-9852 or send me an EMAIL.
