Here is a great article written by Elizabeth Weintraub that will help you through the start of a home buying experience. Be sure to check my website and get your free reports that will give you even greater information. Get free homebuying reports here www.HomesforSale.inwyckoffnj.com
By Elizabeth Weintraub, About.com Guide
Question: What Kind of Questions Should I Ask Before Buying a Home?
A reader asks: “We’re new to the homebuying process and have been going to open houses. When the agents ask us if we have questions, we know we’re supposed to ask something, but what? What kind of questions should we ask before buying a home? What do we need to know about a house?”
Answer: Most first-time home buyers jump into buying their first home because they’ve fallen heads over heels in love with the house, so you are wise to think about asking questions before signing on the dotted line. Here are 3 main issues that home buyers should address upfront:
- Offering price
- Condition of home
- Location of home
With the advent of Zillow.com and other online information centers, some of the data you would like to know can be found on the web, but much of that information is incorrect. For example, Zillow can’t accurately compute value on homes in neighborhoods where the size and configuration is nonconforming. But it can give you a general idea of value.
Questions to Ask About Offering Price
Home buyers often compare prices of similar homes in the neighborhood before choosing a price, but the asking price may have very little to do with the actual value of the home or the price a buyer should offer.
- How much did the seller pay? While the seller’s profit has nothing to do with the price of tea in China, it does help to know if values have gone up or down since the seller bought the home. If it’s a foreclosure flipper, you might not be able to secure financing for 90 days.
- How much does the seller owe? If the seller owes more than the asking price, then you are looking at buying a short sale or the seller will need to bring cash to closing.
- How much have similar homes sold for in the neighborhood? This is your best indicator of value because your bank’s appraiser will rely on those comparable sales to compute value.
- How many offers has the seller received? Some homes generate multiple offers. In that event, your offer will need to be very strong to survive the competition.
- How long has the home been on the market? You might be able to negotiate a discount on the price if the home has been on the market for 60 days or longer.
Ask Questions About the Condition of the Home Before Buying
If you know in advance that the home has structural issues or deferred maintenance, you might want to take those problems into consideration before choosing an offering price.
- How old is the roof? Newer roofs have a life expectancy of anywhere from 15 to 50 years or more, depending on its materials.
- What is the type of foundation? Raised foundations allow access under the home to reach plumbing and electrical, as do homes with basements. Slab foundations are more common in newer construction.
- Does the home have insulation in the walls and attic? In colder climates, insulation is more important, and each locale sets standards for the R factor.
- Have any appliances or systems been replaced and, if so, when? It’s a plus factor if older plumbing and electrical have been updated. Moreover, some older appliances can’t be repaired because parts are no longer available.
Ask Questions About the Location of the Home
In real estate, one routinely hears it’s all about location, location, location. Homes in desirable areas are worth more than similar homes in locations not so desirable.
- What types of other properties are located nearby? One home I was showing in Folsom, CA, had a cement wall over the fence. Behind it was a towing company and plumbing company. Apartment buildings, commercial and industrial lower the value of residential around them.
- What are the neighborhood demographics? Some title companies can supply this information, but your best bet is to talk to the neighbors, followed by asking the agent about the area and doing research at the library.
- Where are the schools? Schools are a huge concern to parents with small children. In California, even if you buy a home within the boundaries of certain school districts, there is no guarantee your children will get in to that school.
- Are there nuisance factors? Traffic from nearby restaurants or stores may be an irritant. With freeways in the distance, you might not hear the noise during the day, but as night falls, the clatter and constant hum may get louder. Even barking dogs can drive a person nuts.
These are only part os the questions but I think it gives you a better insight into the things about real estate that you need to know. I have many more free reports available for you, such as:
- Homebuyers Field Manual 20 pages packed with critical information you need before you make an offer.
- Homebuyers New Home Checklist 3 pages of items you don’t want to miss if you seriously buying a new home!
- Why is Lending is such a mystery – The Secrets Revealed
- Important Lender Questions and why a Credit Pre-Qualification is so critical
- Why Is Closing So Critical and How to Make your’s Easy
And my favorite
- Where to Find the best homes and hidden values in the marketplace
So, there are a lot of great reasons you and I should meet and talk about your dream home and why now is the best time to buy. Call me 201-774-2316 and check out my website StephanieKnightRealtor.com