15 Things Every Buyer Should Know Before Purchasing
Buying a new home is a big decision and it is important to educate yourself and weigh all your options regarding a home purchase. Below is a list of the top 15 things you should keep in mind before purchasing your next home.
- Property taxes and qualified home interest are deductible on an individual's federal income tax return.
- Many times, a home is the largest asset an individual has and is considered one of the safest investments available.
- A homeowner can exclude up to $500,000 of capital gain if married, filing jointly or up to $250,000 if single or filing separately. The home must have been the taxpayer's principal residence for the previous two years.
- A portion of each amortized mortgage payment goes to principal which is an investment.
- A home is one of the few investments that you can enjoy by living in it.
- The majority of the time a REALTOR® can show you any home whether it is listed with a company, a builder, or even a For Sale by Owner.
- Working through a REALTOR® to purchase a For Sale by Owner can be very advantageous because someone can be looking out for your best interests.
- A real estate professional who can provide you financial information with a computer will give you a distinct advantage in making the right decisions.
- A pre-approval program will actually approve you for a specific loan amount subject to the property. This will give you confidence and should help in negotiating with the seller.
- Your real estate professional can provide you with a list of items you'll need to make a loan application so you'll be ready when the time comes.
- The right to conduct a property inspection, included in your sales contract, will give you the ability to negotiate with the seller before spending money to have a professional inspect the property.
- A Home Protection Plan can provide coverage for selected items such as central heat and air conditioning, interior plumbing, built-in appliances, pool equipment, and other things. If the seller is not providing this coverage, you can purchase it yourself.
- Ask the real estate professional for a list of buyers that he or she has helped. Call several names to verify that you'll receive good service.
- Ask the real estate professional if they are familiar with the neighborhoods you want to live in. Ask how many homes they have sold there in the past year.
- Ask the real estate professional who he or she is representing in the transaction.
For more information regarding purchasing or selling a home, please do not hestiate to contact me.