Five Tips for Finding a Great Housing Deal

Bay area real estate news

Buying a home is one of the biggest investments that you will make in your entire life. How can you be sure that you are making the right decision? How can you get the most for your money? Are you the type of person that enjoys shopping sales and getting needed items on clearance? You can apply the same home buying thought pattern to the real estate industry. These buying tips will ensure that you get the best price possible for your first house.

Establish your budget

Before you can begin looking for a good deal, you will want to know what your budget is. What is the absolute most you are willing to spend? Reserve this amount in the event that you find something worth paying at the top of your housing budget. However, you will aim to reach a cost that is lower. Establishing a budget can help you evaluate how good of a deal something really is. You know how much money you will have leftover to make any needed repairs or renovations.

Work with a licensed real estate agent

Licensed real estate agents know the market better than anyone. They know what houses are currently selling for. They also know when new real estate listings come on the market. Your real estate agent will also be an important part of your negotiations. Think of them as your real estate mentor. Inform your real estate professional that you are looking for a good deal. This way, they will know to show you real estate listings that might need a little work but are a good value for the asking price. Approximately 88% of all buyers report purchasing their home through an agent.

Look at alternative sale properties

Looking at for sale by owner and short sale properties can get you a good buying deal. A seller that is selling on their own often wants a quick sale and does not want to give up money to a listing agent. You can still work with your buyer?s agent on negotiating a fair price. Short sale properties are homeowners that are at risk of losing their property to foreclosure. If they can sell, they can remove their debt and prevent the mark of a foreclosure on their credit report, giving both the buyer and seller an advantage. Work with your realtor on finding alternative real estate listings.

Purchase a fixer upper

Some home buyers prefer brand new homes that do not require any repairs or renovations. In fact, around 34% of recent buyers who purchased homes were looking to avoid renovations and problems with plumbing and electricity. Approximately 32% of buyers who purchased previously owned homes considered getting a better price to be their top concern. If you have any handy skills or have a remaining budget available to make repairs, you can get a great deal on local real estate listings You will find that buying previously owned homes is actually very common. Approximately only 14% of homebuyers chose a brand new home in 2016, while about 86% of buyers chose previously lived in houses.

Make sure you are getting the best interest rate

A poor interest rate on your mortgage can ruin your affordable monthly payment. It is very important to also evaluate your mortgage terms. You are allowed to shop around, so if your mortgage company gives you too high of an expected payment, consider looking into another provider. You can also cut costs by paying attention to property taxes on properties that you are interested in and shopping around for homeowners insurance.

First time home buyers often feel very overwhelmed and anxious. They are about to make one of the biggest purchases of their life. If you are a first time homeowner, make sure you are looking for the best deal. Work with a licensed realtor on finding the best deals on the market. Also, take advantage of your realtor’s negotiation skills and you will have the house of your dreams, at a price that you enjoy, in no time.

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