It has probably taken you years of hard work, sweat and sacrifice nights trying to save up for that big investment. Yes, money doesn’t grow on trees. That is why buying a house can be a stressful and a thoughtful experience. Not all that glitters are gold, so you wouldn’t jump on any good offer that comes your way.
The same way every worthy product has to go through Health Canada Consultants to be certified, a good house investment must meet a certain criteria. Whether you are for your family, or just for speculative reasons, chances are; you might want to sell the same house in future and you don’t want to do it at a loss. If you want more information on the real estate markets, sites like Zillow.com can give you information on the mortgage rates.
No worries if this is the first time you are buying a house, with these five factors in mind, you can never go wrong;
You can always pimp a rugged house and make it look like a palace, right? But you cannot load your house on a truck and shift position if you don’t like the place. Depending on whether you are single or living with your family, the location of your house will still haunt you; so don’t make a wrong decision.
If you are single there is no harm in buying a house at the center of a bustling city next to a night club. But if you have a family you might have to move to a quiet place outside the madness of the city. Wherever the place you settle on, make sure you can access social amenities such as water, schools, roads, hospitals, electricity and roads. First make sure that you love the location and consider this,”if I was to sell this house today, how many people would want to live here?”.
Make sure to buy your house according to your bank balance. The price of the house alone is not the only factor at play here; the cost of food, groceries, transport expenses, and social amenities will determine whether you should buy it or not. You definitely don’t want to starve to death in a fancy expensive house.
When it comes to affordability, other factors such as taxes, maintenance and assessment costs are very important. For a condo, the expenses could be high compared to small family houses. It is wise to consider exemptions too before you settle for the offer. Draft a quick income and expense checklist; if you can afford it, buy it.
Who wants to move in one day only to lose all their hard earned assets the next day. Before settling for that beautiful condo, check the crime reports of the area. When it comes to the crime rate, consider the long term stability of the area. There is crime everywhere but the more it is, the more reason to avoid it.
4.Long term value
Think of the value of your investment, years later from the time of your purchase. Will it still meet your meets years on? How is the market likely to change? Is it moving in your favor against? If you were the sell the house in future, are there any developments in that area that will make your investment go up in value?
Think of the school district. If you are single now, are you planning to have children in the future and will there be schools in the neighborhood for them to attend? What then is the quality of those schools? You have to make sure that your investment is worth it in the long run.
If you are an investor, then you probably know that buying the best building on the block is not always the best idea. It could look so appealing and irresistible but there is more. Here is the secret though, you will buy it at the highest price in the market and the probability of that value going up is minimal.
So what then? Buy a house, renovate it and increase its value. If you sell it a month later, make sure you make a kill out of it. If you decide to live there, you will customize it to your liking.
When it comes to home buying, there is no specific formula but these will guide you home. You will be at a better position knowing this, rather than just walking into a house store and picking one to take home. Enjoy your buying, it’s never that serious. Really.