There’s no question that your home represents a sizable purchase – not to mention a long-term investment. However, this doesn’t mean you’ll need to resign yourself to breaking the bank in order to purchase it. While there’s no getting around the fact that you’ll be spending a fair amount of money, there are numerous steps you can take to lessen the financial burden of homebuying. First-time homebuyers looking for effective ways to save money would do well to consider the following tips.
Have the Property Professionally Inspected
There are numerous reasons you should avoid purchasing a home that hasn’t undergone a professional inspection. For starters, an inspection by a certified home inspector may be a prerequisite for having a property insured. Secondly, a thorough inspection can uncover problems that neither you nor the seller were aware of. Discovering large, costly problems with the property long after the deal has gone through is the last thing any homebuyer wants. So, regardless of how excited you are about a certain home, you’d be wise to have it inspected before getting started on any paperwork.
Professional home inspectors are trained to identify an extensive assortment of problems that non-professionals would never think to look for. So, even if you’ve done a meticulous walkthrough of a property, you should still enlist the aid of a certified home inspector. You should also avoid allowing yourself to be dissuaded from a professional inspection and be wary of any seller who attempts to do so. An aversion to inspections often indicates that a seller is actively trying to hide known problems, so the more adamant a seller is about forgoing an inspection, the more adamant you should be about one taking place. For maximum peace of mind, even high-quality properties like the ones listed by Premier Sotheby’s International Realty in Asheville, North Carolina should undergo pre-purchase inspections.
Don’t Commit to Mortgage Loans You Can’t Reasonably Afford
It’s important for first-time homebuyers to know that being approved for a mortgage loan doesn’t automatically equate to being able to afford that loan. Depending on the size of the loan and your monthly payments, you may find yourself struggling simply to stay current with payments, and there’s no point in living in your dream home if you’re unable to truly enjoy it. So, no matter how eager you are to move into your first home, you should carefully consider how much of your monthly income mortgage payments are going to eat up. If the overwhelming majority of your paycheck is going towards your mortgage, it stands to reason that funds for other essential expenses will be on the wane.
Make a Large Down Payment
Wanting to save as much money as possible at all times is perfectly understandable – especially when you consider the current cost of living in the U.S. However, a willingness to make a large down payment on your first home can serve you well in a number of regards. First off, it will let lenders know how serious you are about owning a home and signify financial security. Secondly, making a large down payment can reduce the cost of your monthly payments.
Consider How Much Maintenance and Upkeep a Home Requires
Some homes may seem like solid bargains but require a tremendous amount of maintenance and upkeep. So, even if a home’s asking price seems fairly reasonable, assorted maintenance expenses can effectively diminish any savings you were able to enjoy. With this in mind, make an effort to avoid homes that require an advanced degree of upkeep.
For example, many older homes are likely to require a wide range of repairs and renovations, and as anyone who’s lived in such a home can attest, this type of work doesn’t come cheap. So, before committing to buy a home, take care to research the age of the property and how up-to-date various aspects of the home are. Plumbing, electricity, structural integrity, heating, and cooling are among the most important factors to consider.
Although property values are higher in some parts of the country than others, it can’t be denied that a home is an extremely expensive purchase. In fact, for many of us, homes are the priciest investments we’ll ever make. So, regardless of where you’re based, you’re likely to be disappointed if you’re looking to get a home for dirt-cheap. Fortunately, this doesn’t mean that you’ll have to resign yourself to overpaying for homes – especially if you have the tips outlined above at your disposal.