Finding the home of your dreams can be a daunting task. Especially, in this new and competitive market, where there are a multitude of options. When you start the process of searching for your dream home, whether it be for starting a new family, buying your parents their dream home, or a home you can share with your fur baby. You have to consider a number of factors when buying a home – resale value if you are buying an old home, a new build, or a brand new property. Here is a guide for you on how to make the right purchase when you buy your new home or your next home.
1. What type of home are you looking for?
When you are considering buying a home for the first time or for real estate investment purposes, the first thing that comes to mind is the square footage of the house, the overall layout, the number of bedrooms and bathrooms, the living room size and whether the house is equipped with a garage, a basement or attic for storage space. If you like having barbecues, you have children or you have pets the importance of having a pool or a lawn is an added benefit.
It is important that you take into consideration the number of family members you have, whether you have children, pets, and the amenities you need in your home.
2. The Community
The community plays a very important role, especially if you have a family, having good schools, playgrounds and public swimming pools are essential.
When you have children choosing a community in a school district becomes vital for the proper upbringing of your children/child.
What is also important to consider is if you would like to become a member of a Home owners Association(HOA) in the community that you want to live in. Being a member of the Home owners Association(HOA) means that you will likely have to pay a fee to maintain the common areas of the community and for the usage of the amenities that the community offers. However being a member of the Home owners Association(HOA) means that in addition to your monthly mortgage payment you will also have to keep a budget for the Home owners Association(HOA) monthly fee.
Also keep in mind that being a member means that you will be restricted in what you can and cannot do with your home, there are certain rules that you have to be aware of before becoming a member. So we would suggest to do your due diligence and research the Home owners Association(HOA) of the community you are choosing to buy your home in.
3. The condition of the home you are going to buy
When you have zeroed in on a home you like, the first thing you need to do is assess the condition that the home is in. This includes assessing the roof – if it needs fixing, replacing or if it is in perfectly good condition. It is important that you keep a lookout for leaks, missing tiles, or any other signs that your roof is damaged will save you on a hefty cost of a roof replacement. Never buy a home that needs a roof replacement.
Another important aspect to consider is the sturdiness of the windows in your new home. Minor fixes can be considered but however if there are problems relating to the overall strength of the window panels then you will be facing major problems/ major costs in the near future.
Living in a country like Canada, means that you need to have a functional HVAC unit. Do not be fazed by the intricacies of an HVAC unit, here are a few basic questions that you can ask the seller during your home inspection – when was the HVAC unit installed in the house, what is the primary method of heating the house, if the home is equipped with window units or has central air, and lastly if the HVAC unit has been regularly serviced. Asking these basic questions will save you a lot of trouble in the future, we suggest you do all of these before you sign your mortgage agreement.
Make sure you ask the seller of the house before you make any decisions about the homes plumbing system. Having a functioning plumbing system is essential to making sure that there is no mold in the home which may cause health issues, and if there are any leaking pipes that you should be aware of. If you are aware of all of these, not only will you be able to gauge the cost of the repairs on top of the added cost of the house. But you will also be able to ask the seller for a reduced price on the house considering all the plumbing repairs that need to be done.
4. Calculating property taxes for your new home
Property taxes in Canada vary depending on the state and county you live in. Your local government will calculate your property tax by multiplying your property’s assessed value by the present local tax rate of your state and county.
The first thing you need to do when you want to buy a home is to assess the value of the home in comparison to the value of all similar homes in the area and the real estate market economy.
It is very common for an assessed value to not be the same as the quoted market value or the appraised value. You need to be prepared for the varied property taxes depending on the state you choose to buy your home in. Keep in mind that you will be paying this amount as long as you own the home, so it would be wise for you to decide on a location where the said amount of tax to the state would be financially viable for you and your family.
However, keep in mind that many states/areas offer exemptions like the homestead exemption, senior citizen exemptions, homeowners with disabilities exemptions and veteran exemptions. Please check with your local and state government to see if you qualify for any of the set exemptions which might be helpful in reducing your property tax bill.
5. Location of your new home
When you are choosing the location of your new home, it is important to keep in mind a few aspects like – public transportation, if you commute on a day to day basis for work it is important that your home is located in a place where public transportation is easily accessible. Another aspect to keep in mind is if you have children, whether the home you have chosen is located in a district/area with good schools or schools of your choice.
A very important factor to consider is safety, making sure you research the neighborhood you have chosen your home to be in is very crucial especially if you are living with a family, a single woman or in any other instance. Safety should always be your first priority.
6. The price of the home and it’s maintenance cost
The question always arises when buying a new home, “can I afford to buy this home? Can I maintain this home?”
Price is always the leading factor when it comes to buying a new home. Whether you are getting a mortgage for your home or you are buying the property outright. Spending in accordance with your monthly income is crucial in maintaining the balance of making your monthly mortgage payments and having enough left over for maintenance costs.
You should always consider hiring a professional or getting a mortgage pre-approval before you begin searching for your dream home. Getting a mortgage pre-approval means you know how much you can spend on a down payment and how much you need to keep aside as your monthly mortgage payments. Being financially wise is the best decision you can make as a homeowner in this ever-changing real estate market.
Coming to an end
As a real estate agent in Sarnia, we have listed the 5 basic things/points you need to keep in mind when you begin house hunting. Needless to say that as Google literate individuals, we have all done our research when it comes to buying a home.
However, as a professional who specializes in being the medium between your dream home becoming “Your Home”, we are adept in handling all the intricacies involving mortgage calculations, mortgage pre-approval, offers, counter offers and home loans.
So before you begin your house hunting journey, keep in mind what you want, what do you need and how much you can afford. After you have decided all of that and you need professional help we at Real Estate Results – Karina DeLorey is always there to guide you and help you make the right decision.
Happy House hunting!!
