Better Homes and Gardens Real Estate Life

Tag: Home Buying Tips

  • How to Research Homes When Relocating

    Relocation offers exciting opportunities for a new lifestyle. But, as the saying goes, location, location, location! Knowing how to research homes effectively saves time and sets you up for success elsewhere. Discover the best ways to find your dream home in another city or state.

    Map It Out

    Get to know the layout of the land before you get there. Research locations on Google Maps to determine everything from the climate to the proximity to necessary places, such as shopping and medical facilities. Also, visit WalkScore.com to find out the walkability of local businesses. Once you know the overall neighborhood better, you can research homes in your preferred areas near schools, parks, or shopping.

    Take a Tour

    A personal tour is the most effective way to learn more about neighborhoods. Walking around the local areas during the day and night tells you a lot about the place – from garbage removal to where everyone likes to unwind. Also, talk to the locals to get their opinions and visit sites such as Nextdoor.com for more info. If you cannot make the trip, try joining local Facebook groups and YouTube to watch videos. Real estate agents often provide video tours so you can shop around from your armchair. 

    Review Property Values and Cost of Living

    Before buying a home, check out the area’s property values and cost of living. Sites such as AreaVibes.com provide recent statistics about the market and how much it costs to live in the neighborhood. Then, ensure the area you choose has homes that fit your budget. Also, getting a mortgage pre-approval lets you know your purchasing power.

    Consider the Crime Rate

    Real estate agents cannot discuss crime and neighborhood statistics under the Fair Housing Act. This means buyers must research themselves to ensure they move to safe areas. Visiting sites such as NeighborhoodScout.com can help determine the crime level in the new location.

    Find a Reputable Real Estate Agent

    The best way to research homes when relocating is to find a reputable real estate agent with access to the Multiple Listing Service. Buyers can have agents represent their interests when relocating, as the listing agent typically represents the sellers. Ask your agent to send you listings that meet your criteria, so you can start surfing for homes from your smartphone or laptop.

    Think About Renting First

    Think about renting before you make a final move to a new location. Services such as AirBnb.com provide temporary rentals so you can stay in the area for a week or two. Also, your agent can help you find a rental until you buy a home in your new neighborhood.

    Look Into the Schools

    Buyers with children should find the ratings of the local school districts to find homes in the best areas. The GreatSchools.org website provides ratings and reviews from locals, so buyers get a feel for the schooling in the neighborhood.

    Consider Professional Opportunities

    Some people relocate because of their employment, and others need to secure work in a new location—research job opportunities on sites such as LinkedIn.com and Indeed.com to find out what exists in the area. In addition, licensed professionals may need to obtain licensing if moving to another state, so find out the requirements to be ready to work when you get there. Also, find out where jobs in your profession are to find a home nearby.

    Check Out the Chamber of Commerce

    The local chamber of commerce location or website provides a wealth of information about the neighborhood. Research local events, establishments, recreational facilities, and businesses to discover what the place offers.

    Read the Local News and Traffic Reports

    One of the best ways to research homes when relocating is to read the local news and traffic reports. Consider practicing your commute or studying the routes to find typical traffic patterns. The news reports indicate neighborhoods where issues may exist, or housing values are fluctuating. Also, follow social media accounts to get the latest updates from residents to see what’s happening in the new location. 

    Knowing how to research homes makes relocating faster and easier. Work with a licensed real estate agent to find the best homes in your preferred neighborhoods. With modern technology, you may find your dream house from the comfort of your current one!

  • First Time Home Buyer? Ten Facts Nobody Tells You

    Buying your first home can feel like both the best of times and the worst of times. Here are 10 facts nobody tells you when you’re buying your first home.

    1. Something will go wrong

    No move is ever perfect. Something will get broken or there will be something you’ve forgotten to bring or do. With any luck, the setback will be minor, and you can chalk it up to the old adage, “things happen.”

    2. Some of your conditions might not be met

    One of the least enforceable clauses in offers to purchase is one for cleaning requests. You can stipulate that carpets, refrigerators and ovens be cleaned. However, if they haven’t been, there is often very little that you can do about it.

    If a major repair hasn’t been completed as promised, one of two things will happen: you either won’t take possession of the property on the day you planned or your funds will have to be placed in escrow pending resolution of the issue.

    3. If you don’t have the closing fees, you don’t get your new home

    Legal fees are due on closing, and your funds won’t be released to the seller unless your lawyer is paid. Closing costs usually range from two to five percent of the purchase price, but be sure to verify this information before arriving on closing day. This money is in addition to your down payment.

    4. Good schools increase a home’s value

    You’ll pay more for a house in a good school district. Of course, the good news is you’ll get more for it when you decide to sell. If the home you’re planning to buy is your “forever” home and you don’t have, or plan to have children, this may not matter. Still, it’s something to think about.

    5. Your neighborhood may be about to change drastically

    The municipality may be planning a park, a school, or a playground for your area. Depending on your lifestyle, that can mean profound changes in a short period of time. Check with local administration and the area’s local representative. The first can tell you what the plan is. The latter will have a far better grasp of whether outlined timelines are accurate or not. You can base your decision on the information they provide.

    6. You need to read all the documents yourself

    It’s tempting when you’re paying a lawyer to review HOA or condo documents to simply delegate this task. However, a close reading of the minutes of meetings will teach you a lot about your neighbors-to-be and help you avoid nasty surprises, like planned increases in fees or devolving renovations that used to be the condo board, or HOA’s responsibility to individual owners.

    7. Don’t apply for other credit while mortgage shopping

    Applying for a loan or another credit card may seem like a good idea when you’re about to take the home ownership plunge and know you’re going to need to buy things like garden tools, a gazebo, and a grill. Don’t do it unless absolutely necessary. It can negatively affect not only the amount of your pre-approved mortgage, but it can also mean you don’t get pre-approval. Wait until after you’ve bought your home to apply for more credit.

    8. You’re going to need “earnest” money

    Also known as a deposit, you’ll likely need about $1000 per $100,000 worth of house available when you make an offer. This money is required as a show of good faith and will be held in escrow. You’ll get it back if your offer isn’t accepted, or it may be applied to your down payment. You may forfeit this money, though, if you’re the one who withdraws from the deal.

    9. Your neighbors-to-be may be your best source of information

    Walk around the area you where you want to live. If you see people out gardening or mowing their lawns, talk to them. Strike up a conversation and explain that you’re thinking of buying. Ask receptive individuals what the neighborhood is like, how long they’ve lived there, and how long they’re planning to stay. If you learn that your new home is located next door to some party animals who blast music every single summer evening, you may not enjoy your own backyard, so you may want to reconsider.

    10. Check for rebates you may be entitled to

    You may qualify for first-time homeowner rebates. There may be other municipal, state, or utility-provider rebates available, too. Start investigating early. It may make more sense to invest in attic insulation than an air conditioner if you’re going to get a rebate that covers some or all the cost of the insulation. Some areas offer rebates on newer, more energy-efficient appliances. You won’t know that unless you do your homework.

    A good real estate agent can talk you through the buying process. Now you’re already ahead of the game with these ten facts nobody tells you, and you’ll be able to focus on offer strategy rather than the fundamentals.

  • Discover the Perfect Time for Buying a Vacation Home

    If you’re lucky enough to have reached the time in your life when you can seriously contemplate buying a vacation home, there’s much to be excited about. According to the National Association of Realtors, one in eight homeowners are thinking of buying a second home. While summer may be the time of year you start to think longingly about sun, sea and sand, it may not be the best time to buy a cottage.

    Here are some things to consider when you’re buying a vacation home.

    Peak of season is seldom a good idea

    Avoiding peak seasons makes sense in supply and demand terms. Peak season, whether you have your eye on a Vail ski chalet or a Cape Cod sea shanty, is when the area in which you’re looking is at its finest. Since vacation homes can be sentimental investments, many who’ve inherited them rent them out as additional sources of income so they can hang onto a property. They may be sharing it with siblings or have had to buy them out. They also may be part-time vacation home investment owners who got in early on a new resort but need to ensure 100 percent occupancy during peak season to make their investment pay off.

    Aim for the final weeks of the high season to make your offer or hold off until just after peak season ends. If you’re looking for a summer vacation home, the time between Labor Day and Thanksgiving is the perfect window of opportunity. You’ll still take possession early enough in the year to be able to get a glimpse of what future summers can hold, and you’ll also have a chance to do any needed repairs before winter sets in. Then you can spend the winter planning what you need to do to make the place your own the following summer.

    If you’re looking at a winter vacation home, spring is the best time to make an offer. While diehards may still be renting or occupying their vacation homes, hoping to get one or two more days of spring skiing or boarding in, most will have placed their properties on the market. Just be careful not to leave your offer for too late in the year if the area you’re interested in is remote. Some owners board up their properties for the off season, making it harder to get viewings. Also, don’t forget the power of spring mud. Properties accessible through three seasons may become harder to access during spring thawing and flooding.

    Be sure the time is right

    Before buying a vacation home, you need to think long and hard about a whole host of considerations. First and foremost is whether you will be able to use it enough to make it worthwhile for you financially. Even if you buy a vacation home and plan to rent it out to defray expenses, that means your time there will be limited. While you may love a cottage on a lake in fall, not everyone else does. If you can’t afford to spend the 4th of July at your own cottage, this may not be the time to buy.

    Second, have you considered all the duplicate expenses involved? Whether you want your vacation home to mirror your principal residence in all ways, you can’t escape the fact that you’re going to need two of everything now. Unless, that is, you want to treat every weekend you spend at your vacation home like a camping trip (which may well be the case). You’re not going to want to haul lawn mowers and leaf blowers to the cottage every summer weekend. That goes double for appliances, linens and furniture. You’ll also have a second set of bills for property taxes, insurance, yard maintenance, internet and cleaning costs. In addition, there may be HOA fees, too.

    Third, what are your vacation goals? If you want to visit every continent and are running out of time to tackle Asia and Africa, does a vacation property make sense? If you find you’re drawn to experiential vacations like hiking the Appalachian Trail, swimming with the dolphins or building someone else a home with Habitat for Humanity, a vacation home may be an anchor you don’t need.

    On the other hand, if you know you can afford to invest in a second property and have a long-term plan to use it as a home base while you globetrot in retirement, or if you want your family to have the freedom of the great outdoors while they’re growing up, it might just be time to seize the day.

  • Home Inspection 101: This is What You Need to Know (Plus a Checklist)

    Before you purchase a home, hire an inspector to make sure the structure is sound and there aren’t any defects.

    An inspection helps buyers identify serious issues with a house, condo, townhouse or other type of home. Some lenders require home inspections before they’ll approve closing on a mortgage loan. Professional home inspections aren’t always a required part of a purchase contract; they’re a smart part of buying a home and a property investment.

    Whether or not a loan officer insists on an inspection, getting a home inspected is to your advantage. No one wants to find out there’s something wrong with a property after they’ve signed the papers.

    Here’s what you need to know about home inspection, followed by a handy home inspection checklist:

    Not all home inspections cover the same points

    There will likely be numerous home inspection companies and professionals to choose from when you’re buying a home. As you look for an inspector or consider inspection company referrals, keep in mind that not all inspections cover the same points.

    When inquiring or interviewing inspectors, make sure those you’re thinking of hiring will inspect the inside and outside of the property. Inside, an inspector should look for leaks, fire hazards, the health of the house systems and the life of the water tank. Plumbing and wiring inspection are essential to make sure these systems are up to code. Inspectors should look at a home’s ventilation systems and smoke detectors. If the home has appliances, they should be tested.

    Outside, inspectors should check for cracks in walls and the foundation. Missing siding, damage to the roof and cracked woodwork are all issues that may point to structural problems with a home.

    Most general home inspectors won’t check septic systems or insect damage. These are points that you should hire specialists to address.

    Buyers should choose their own home inspector

    As a buyer, you can certainly negotiate who pays for a home inspection. However, consider that sellers paying for an inspection may want to choose the company themselves.

    It’s in your best interest to choose your own inspector when purchasing a home. This may mean that you’ll have to pay out of pocket for the inspection. This service is not usually included in the fees a lender will roll into a loan.

    The cost for a home inspection is typically a few hundred dollars. If you need in-depth inspection of a property, such as a review by a structural engineer, prepare to pay much more.

    In some states, a home inspector must have a license. If you aren’t sure where to look for a licensed home inspector, your real estate agent should be able to offer a referral. It’s a good idea to verify any inspector’s license to make sure you’re hiring someone qualified.

  • Step 6. Property Inspections During the Home Buying Process

    A property inspection is by far one of the most important portions of the home buying process for any potential buyer. Although home inspections are optional, it is suggested that all buyers spend the additional funds to attain a home inspection. Home inspections average between $300-$500 dependent on the area, but can save the homeowner thousands of dollars in the long run. A home inspector can see and notice issues that the average eye may oversee, which alleviates unanticipated home repairs and increased costs. Adding a home inspection to any purchase offer ensures that any issues that may arise are known upfront. This can affect not only the price of the offer, but whether to continue with the contract.

    What Does a Home Inspection Cover?

    American Society of Home Inspections helps set a standard of practice for home inspections throughout the United States. A typical home inspection includes structure standards, roof & attic inspections, basement inspections, HVAC systems checks, plumbing, electrical appliances and garage space checks. The inspectors are considered 3rd party observers and are there to objectively provide information about any home they are ordered to provide an inspection for. It is suggested that the buyer is present for this inspection to be able to ask the home inspector questions regarding any issues or discrepancies seen by the inspector or buyer.

    Inspections can take 7-14 days to occur and be received dependent on the demand in the area. The inspection report will include the following:

    • If the problem is a safety issue, minor repair or major defect
    • What items need replaced and what needs repaired or serviced
    • What items are suitable for use, but should be monitored by the buyer.

    Once the buyer receives the home inspection report, the buyer can counter the seller with required repairs and updates to continue with the current offer. If the seller is unwilling to make these changes, the buyer can opt for a price reduction or choose to leave the contract.

  • Tips For Buying a Home with Sherry Chris

  • How to Downsize Your Home

    It’s not unusual to downsize to a smaller home at one point or another; a smaller home is something that many people look forward to and take advantage of as they get older.

    You may be wondering if it’s time for you to start downsizing and start a new chapter in a smaller space. Whether you’re an empty nester looking for fewer maintenance requirements or simply interested in a smaller space, there is one thing that is inevitable: You will have to get rid of some of your stuff. This is somewhat bittersweet, but you get a chance to go through all of your belongings and determine what truly needs to make the trip to your new destination in life. Follow these tips to make the downsizing process significantly easier.

    How to Downsize Your Home - bhgrelife.comList it or Leave it

    The first step to downsizing is to make a list of the things you absolutely need. Items that don’t make the cut shouldn’t come to your new house. It’s important to do this at least three months prior to the move to ensure you have an ample amount of time to go through your items and think about whether or not you need them.

  • The Emoji Guide to Buying a Home

    Tips for Buying a Home Emoji

    When it comes to buying a home, there’s a lot to keep in mind. Did you correctly guess these top emoji tips? Feel free to let us know in the comments, and share how many you guessed correctly! For more tips on buying and selling, visit us here.

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  • Buying a Condo in Chicago

    Buying a condo in Chicago, Illinois can be a fun and rewarding experience. The “windy city” contains condos for any budget and any lifestyle, so if you look hard enough, you will more than likely find what you are looking for among the Chicago condos for sale.

    A condominium offers a number of advantages as well as disadvantages for a home owner. On the plus side, buying a condo in Chicago allows you to own your home without all of the upkeep and maintenance that a traditional single family home requires. Typically, when you are part of a condominium association you will not have to worry about things like lawn care or upkeep of common areas. You may also have access to the same amenities that are often found in an apartment complex such as a swimming pool, gym, business center, or clubhouse. Again, all of these common areas will be maintained by the condominium association. Unlike living in an apartment, however, you have the ability to make the space your own. You may do things like paint the walls, change fixtures, or upgrade appliances to truly make the home reflect you and your family.

    On the flip side, you will need to adhere to the rules and bylaws of the condominium association with regard to what you can do to your property. For example, you may not be allowed to paint the outside of your home a particular color if the bylaws prohibit it. In addition, all of the services that the condo association provides are paid for by monthly dues paid by the condo association members. Depending on where you decide to purchase your condo, the monthly association dues may be different and will be subject to change.

    Chicago condos that are listed on the market for sale include both new and resale condos and reflect almost any architectural style from modern to traditional or from luxurious to modest. When most people think of a condominium they envision an apartment-like space. However, Chicago condos for sale come in many shapes and sizes. Whether you are looking for a luxury condo in a high-rise building or are more interested in finding an affordable living space to own, Chicago offers a wide range of condos for sale.  You can find ultra-chic condos in Chicago that have been converted from old warehouses into lofts at a reasonable price, and for a premium, you can live in a penthouse overlooking the Chicago skyline. There are also a number of condominiums in Chicago that actually look like single family homes that are joined together. These condos tend to have more green space and more traditional landscaping. By taking some time to narrow down you search by deciding exactly what you are looking for in your Chicago condo (as well as how much you can afford), you should be able to find the perfect condo for you in no time.

  • How to Craft an Appealing Offer Letter

    Finally, after a long, arduous search, you found an affordable home in the perfect neighborhood. Now, an offer letter is the only step that stands between you and owning that ideal home. Here are useful tips to craft an offer letter that will, without a doubt, appeal to the seller.

    Talk to Your Attorney or Realtor

    A successful offer letter includes terms of the contract, including the bid price and any contingencies. Make sure you offer legal, fair and feasible conditions. An attorney or your realtor will assist you in providing the correct details.

     

    Share Why You Want the Home

    Paint a picture to the seller with words that include two or three compelling reasons as to why you want to be the next owner of the house. By connecting emotionally with the seller, you increase your chances of winning the bid.

     

    Flatter the Seller

    There is no shame in crafting a pitch that flatters the seller. After all, you want them to feel good about accepting your offer, even if it is not the biggest bid they receive. Mention in glowing terms the recent improvements you noticed of their home such as the recent home remodels or the new hardwood floors. Always thank the seller for the opportunity to meet them. Thank them also for the opportunity to bid on their lovely home.

     

    Do Not Mention a Planned Remodel

    Refrain from mentioning any remodeling plans such as adding a basement or a sunroom in your offer letter. A seller who still has an emotional attachment to their home may reject your offer, particularly if you plan to change a feature that was dear to him or her.

     

    Include Reasonable Contingencies

    Contingencies are conditions included in an offer on a home that must be fulfilled before the deal can close. While too many contingencies will kill an offer, too few may have the same effect. Be reasonable when asking for contingencies, which typically include an appraisal and inspection.

     

    Show Stability

    Stress that you are a “stable” homeowner by providing proof of it. Include a copy of your loan approval and other paperwork that proves you are reliable. Excellent employment history and any other achievements should also be included, along with a copy of your loan approval. Your stability may outshine a higher bid from a buyer who may have problems at closing.

     

    Stay Positive

    Keep your offer letter positive. When you are crafting your offer letter, keep in mind that this is not the appropriate time to mention a chronic illness or any other disturbing news. Instead, stay positive and upbeat as you seek to impress the seller.

     

    Reinforce Your Best Qualities

    Summarize your best qualities and why you would be the best buyer for the seller’s home at the end of the letter. You may even want to share that you are flexible and willing to move in at the seller’s convenience.

     

    Proofread the Letter

    Last but not least, make sure that your offer letter is proofread not only by you but by other friends and family. Spelling and grammar mistakes can quickly kill an offer. An appealing offer letter could land you your dream house, especially when it is well written and easy to read.