10 Things For Buying House Smartly
Buying House Smartly means spending more time on thinking and researching!
First, You need to define the objective of buying a house! it’s possibly very simple for the first time buyer who just needs a house to live and don’t want to pay rent anymore, but some people may target to buy a house as the pure Property Investment, some people are considering to change into a better house or cottage for relaxation. Once you get to the point to buy a house, I will say you start a journey of house investment. Why? House provides 2 key functions, one is for a living and another is an investment.
Second, You need to define your buying budget and timeline! This won’t be just one snap by giving out a number and a date. You might need some help from mortgage agent to know your ability to get a loan, you may need to have some idea about the price range which you are expecting. Calculate your maximum affordable price and think out a budget for your house based on a timeline. Remember, anything without a timeline is nothing.
Third, Know your target market! You can easily get access to the active-for-sale information from the website like realtor.ca and have a basic idea of the market price. if you are an investor you may need more information about the market of different areas and make the comparison.
Fourth, Further define your specific needs of buying a house. School is always a big determining factor for the family with kids; Hospital and walking index might be key factors for older people. Some people focus on interior design, some people prefer house closer to ravine or park. you can get one MLS sheet of any house and read it as a checking list. Please prioritize those needs.
Fifth, Browse online to have some idea of your possible dream house. It’s quite easy to get access to pictures of the house together with property details. In nowaday’s market, you really can get 70% idea of the house on market by not getting there to see them. Ask yourself the question how each house can meet your requirements and make records of the houses you like;
Sixth, Go to See the houses by yourself. It will be a very interesting and pleasant thing to do, and if you did all the research this is the time you can verify your thinking and judgment.
Seventh, Do some screening! Consider all the information from the above processes and give some ranking index for the houses you choose. How to rank them? Identify the weighting factors like School, Walking index, Interior design, Give your weighting number and give your score to each before adding up. Please note, You need to keep 3-4 houses as buying options. Do not just focus on One house as something may happen and that only one may not be available anymore.
Eighth, Pick the Mr. Right and Draft the Offer and Negotiate! At this point, you need more information to decide the terms of the purchase agreement. Although few people choose to do the deal by themselves, the most successful purchase come from the professional help from sale agent, who can provide 360-degree analysis about the subject property and negotiate with the seller fighting for your benefit.
Ninth, Finalize mortgage and home inspection. if the offer is accepted with the condition of mortgage and home inspection please follow up quickly. Try more than 2 banks or have a mortgage agent proving more alternatives always. Do home inspection with inspector which is the best way to understand your dream house.
Tenth, Firm the offer and be ready to close. After conditions have been fulfilled the offer is firm. Get a trustful lawyer and Be ready for closing! Remember: Buying House Smartly!