by Jacques Poujade
The 2019 calendar year might be more than halfway over, but there are still a lot of people looking to buy a home before it ends. I am constantly asked about home buying tips from people I know, either online or in person.
For the readers of my personal Jacques Poujade website, I have put together a list of five things people should consider before making a purchase. This will allow people to be very smart with their money.
Find a realtor you can trust
It might be tempting to look for a home without using a realtor, but most of the time they are going to provide value. This is especially true if working with an honest, upfront realtor looking out for your best interests. They will be able to do a lot of the heavy work for you, and they can keep things realistic as well. They know all the hidden fees that go into purchasing a home, so they will help a person stay on budget as well.
Ask friends and family who they use when they are looking for a home. This is a good way to start to find the right fit.
Check out all the different interest rates available to you
Rates have been rising a little bit in 2019, but not to the point that things are getting out of control. It is still very important to shop around and check out different interest rate options available. This is going to heavily dictate just how much of a home a person can afford.
It’s now easier than ever to check for interest rates online without ever having to even leave the home. Take advantage of all the resources and become very knowledgeable on the subject.
Don’t worry too much about a down payment
In the past, the focus was always putting as much money down as possible. Some people were saving up for 20% or even more. While it is still helpful in some ways, most people don’t need anything close to that to purchase a home.
As little as 3% or 5% down is doable in today’s market. Some of the more competitive markets might require a little bit more, but that is just to differentiate yourself from the competition.
Think about the future when by now
Buying a home is an investment, either financially or for a family to grow. Don’t think about your life right now, but think about where things might be five years from now. Is the home going to be big enough for a family that could be growing? If the answer is no, it might be time to keep looking. No one wants to be constantly on the move because they are only looking at the short term instead of the long term.
Don’t be forced into buying a home
There are a lot of advantages to owning a home, but never feel like you are completely forced into purchasing one. That could lead to a lot of trouble if a person is not taking proper precautions.
Homeownership requires a strong commitment, and some people just aren’t ready to settle down just yet. If you look at everything and realize it might not be the time, trust your instincts and wait until the timing is a bit better.