Last week we discussed the importance of mortgage pre-approval and finding a reliable real estate agent to begin the home search once you have a thorough understanding of your buying power. Today we incorporate additional strategies that will help prospective first time home buyers make intelligent choices along the way.
Begin by filtering your home search by very some basic needs and wants. First evaluate if a particular area is a good fit for you. As you preview and examine various neighborhoods you should keep in mind the following criteria: quality of schools, current property values, associated disturbances from street and airport traffic and the possibility of future construction in the area.
Take into consideration the neighborhood safety records and note the how close the property is to such amenities as hospitals, shops, public transportation, freeways, airports, beaches, parks, stadiums and cultural activities such as museums, concerts and theaters First time home buyers very often have a limitation on financial resources, therefore it’s prudent to buy a home that meets your the majority of your primary needs in the best neighborhood that is still within your price range.
Your real estate agent can assist you greatly in the matching of your housing needs to available properties, while helping you to understand the implication of your initial monetary investment as compared to a likely return upon resale. Many first time home buyers anticipate trading up to a larger home within 5 years of their initial purchase so it is important to get some insight on the projected future value trends for any given area. You can further ensure a savvy home purchase strategy by employing some of the following tips.
Invest in communities that are deemed up and coming and have a higher probability to be classified as “hot neighborhoods” within 5 years. These areas often boarder existing and very desirable areas. Look for a property in a established neighborhood that is a bit farther out of the city limits. If you are concerned about the cost and time associated with commuting to work by automobile, seek out a home that is close to reliable public transportation.
Perform some side by side neighborhood analysis by asking your agent to provide relevant details on like kind properties; be sure to ask what kind of offers are being made, the current variance between the final sale and current list price, what incentives sellers are providing to prospective buyers to differentiate their properties and if there are special financing options.
Finally, you may want to consider purchasing a condominium town home or co-op, rather than a house, in a currently desirable neighborhood. This is a way to “buy in” to a neighborhood where the entry price point of a single family home is in excess of your current budget.
Linda Moore has been passionately writing chapters of buyer success stories for first time as well as repeat home purchasers. Her unmatched domain expertise in the Encinitas area puts her in a class by herself. She fully understands the myriad of concerns which are on the minds and hearts of new buyers of homes in Encinitas and Carlsbad. Linda takes great pride and satisfaction transforming the dream of home ownership into reality for the first time buyer.