Buying a house ...

[Tom Earp]

Originally Posted by JennRN

Update- I flew to West Virginia last week, and the husband and I house hunted for a day. We were not pre-approved at that time, but did it the next day. We found a house we loved! We started the bidding on it last week, and just found out this morning that we got it!!

Congratulations and hope the % rate was reasonable!

It is nice to prop you feet up in your own little nest so to speak!

[summer_gphib]

Originally Posted by JennRN

Update- I flew to West Virginia last week, and the husband and I house hunted for a day. We were not pre-approved at that time, but did it the next day. We found a house we loved! We started the bidding on it last week, and just found out this morning that we got it!!

Congratulations! Good luck with your home inspection and closing!

[amanda6035]

*Bumping*

Any new advice for those of us who are buyers in todays market? Hubby and I are meeting with our realtor this Thursday to go look at houses. I'm so excited!

[gee_ess]

The biggest piece of advice I can offer is to figure out how much you can afford to pay, not how much the bank is willing to give you.

This...^^^

[KSUViolet06]

Originally Posted by gee_ess

The biggest piece of advice I can offer is to figure out how much you can afford to pay, not how much the bank is willing to give you.

Good advice right here.

Also, when figuring out potential hypothetical payments ask yourself "would we be able to swing this payment if one of us lost our jobs or got hurt and couldn't work?"

[CopterDad]

Don't look at houses that are priced out of your budget.

[LatinaAlumna]

If you're able to, put 20% down. This helped me avoid getting into a bidding war, and of course, saved me the expense of PMI. Also, once you close escrow, be sure to file for tax credits that may apply to you as soon as possible.

Depending on where you are looking to buy, you may have to put in a bid as soon as you are finished seeing a place that you like in order to have a chance. Thus, it pays to have done all your homework in advance about an area so you will be able to jump on it.

Stay away from short sales unless your agent is super skilled in such matters. I've heard some horror stories!

Keep a positive attitude, and good luck! The process is stressful, but sooooo worth it!

[thetygerlily]

+ a zillion to hiring a qualified inspector. If you have parents, friends, or family that you trust bring them along as well. The fact that my dad was wowed the construction of our latest home (from 1961) over his 1987 home spoke volumes.

Think about how long you are going to stay there, and what is negotiable in terms of location, layout, lot size, amount of light, updates required, etc. After being in our house for a year and a half now I've realized that having a bathroom off the bedroom is no longer negotiable. We have always had that, both in our condo (still own as a rental) and previous apartment... I didn't know how necessary it was until now. The other item I've realized is that I don't like the bedrooms split between floors- we have 2 up and 2 down, and now that we are getting closer to having kids I am suddenly worried about where kids' bedrooms would be. We're thinking of various remodeling options to give me what I want while staying in the same house, because I'm not willing to budge on location and we love our lot size & position. When we were looking, I had been focused on entertaining space (living/kitchen/dining) because that was lacking in our condo, but our bedroom situation there was fine so I didn't even think to consider it. Whoops!

Oh, and that huge yard that is so nice? Remember that someone has to mow the lawn, weed, etc. Some people love that and some don't.

ETA- if you are looking in an area that has many of the same floorplans over and over again (most neighborhoods, really)- if you find one you like, check out others with the same floorplan. Chances are they will have slight differences that may help you figure out how you can best utilize the space. In ours, we saw extra bedrooms, custom storage, mother-in-law suites, the works. None are in the one we chose- but it was nice to see the possibilities & creativity out there.

[ree-Xi]

Originally Posted by amanda6035

*Bumping*

Any new advice for those of us who are buyers in todays market? Hubby and I are meeting with our realtor this Thursday to go look at houses. I'm so excited!

• Spend less than "the most" that the bank allows you to. House insurance, taxes, repairs, services (gas, electricity) add up. There will always be unexpected issues.
• The usual rule of what you can afford used to be that your rent/mortgage not exceed 1/4th of your gross earnings, but that might have changed. Draw an absolute line above which you will not go. Sometimes you can fall in love with a house and cloud your judgment. Although many owners might be willing to go down, ask your realtor to not show you anything above, say, 10% of the highest you'll pay.
• Check property tax on every property you consider. Check to see when the town last increased, and when the next increase will be.
• Look at towns that have a decent number of businesses - people living in towns that have few businesses have higher property taxes. So do people in towns with a higher percentage of renters.
• Consider an escrow account for taxes - some people vow that they'll save but it doesn't always work out that way.
• NO adjustable rates. They are good only in very specific circumstances.
• Put down as much as possible. Less than 20% and you will pay "points" - higher percentage on your mortgage.
• Go to Zillow.com for history on any property (sales, estimates, taxes, schools).
• Obtain property assessment records for ones you are considering. Know the property lines, zoning ordinances, flood plane, etc.
• If allowed, take pics of the houses you visit - inside and out. Note anything unique or things you really like, dislike or might change. That way, when trying to compare or remember where you've been, you have something to look at.
• Ask about yard/house maintenance. Do they have a lot of plantings that need to be tended to? Pics of the seasons? Do they normally use an exterminator for preventive maintenance? What are their normal electric/heating bills?

When you make an offer and once it's accepted:

• Make it inspection-contingent. Get an inspection, no matter where you live!! Get a pro to do the big stuff, then do your own investigating. Inside and out, foundation, attic, basement, bathrooms, vents, alarms, garage door, locks, windows, doors, stairs, fixtures, faucets (inside and out), stains, test all appliances, heat/ac, light switches, outlets, etc. Make a list of EVERY item with an issue.
• If the house has pet stained carpets, smoke smell, mold, structural or system issues, or radon (GET A TEST), ask for the owner to either fix it or give you a concession on the work you have to do.
• If possible, visit the house or neighborhood during the following times: weekday, weekend, daytime and evenings. Get a feel of what the people are like (keep to themselves or out in the neighborhood), traffic patterns (parking, commuting, busy streets).
• Get a neighborhood crime report from the police department - preferably for the past year. Some crimes are more seasonal.
• Get quotes for house insurance. If there is any chance of natural flooding, get the insurance.
• Ask for warranties/owner manuals for the furnace, hot water heater, a/c, appliances, fixtures, and the places they have used for repairs or services. The businesses would have the installation or service records.
• Ask owners if there are any "tricky" issues like a bathroom door that sticks when it's cold out, a loose burner on the stove, springtime ants, icicles over the back door in the winter, etc. Not to get money from them, but problems to watch out for.
• Ask about any special treatment that plantings might need.

Before moving in:

• For your own records, write down room dimensions, where every outlet, light switch, light and air vent is. This will help room planning.
• If the house is older, you might need the electric system updated and add more outlets.
• If you plan to paint, do it BEFORE you move in, if you can.
• Throw/give away things you don't want/need before moving. For example, if the house has ceiling lights, you might not need a ton of lamps.
• Update fire and carbon monoxide alarms, and porch/flood lights outside.
• Clean all carpets, floors, surfaces and appliances before you move in.
• Get names and numbers for all service providers - phone, tv, internet, heating oil/gas, etc. Ask previous owners for local food delivery places (moving day picnic on the floor!) and recent menus or phone book.
• Get all records (and deadlines) together for your license, car registration and new insurance, etc.
• Find out your closest fire house, the town police department (emergency and non emergency numbers), local hospital, local and 24-hour vet.
• Learn several routes to your new home, from different directions. Street closings, construction, weather - these can disrupt your usual route.
• Check out all of the shrubs and trees on the property. Do any trees look like they might fall? Any shrubberies that might conceal someone hiding?

I think that's it for now. If I think of more, I will write.

[amanda6035]

Originally Posted by KSUViolet06

Good advice right here.

Also, when figuring out potential hypothetical payments ask yourself "would we be able to swing this payment if one of us lost our jobs or got hurt and couldn't work?"

My husband was unemployed for over a year after we moved to Columbus when I started my current job. We since then have learned to live on my income alone, even though he recently, thankfully, picked up a part time job (he's still in school) we are purposely looking for homes that will be about the same, maybe slightly more per month, than what we are paying in rent now, since we know we can sustain it on my income alone.