Dan Gil's Blog
As a homebuyer, you'll want to do everything possible to guarantee a quick, seamless homebuying journey. Because if you're not careful, you may be forced to deal with a nightmare homebuying experience.
Ultimately, there are many ways to ensure that you can avoid a nightmare homebuying experience, such as:
1. Narrow Your Home Search
Although you know that you want to buy a home, it pays to consider exactly what you'd like to find in your ideal residence. By doing so, you can narrow your home search and avoid the homebuying nightmare of pursuing residences that fail to meet your expectations.
Think about which features are must-haves for your new home, as well as which features you can afford to live without.
For example, if you require a home that is close to your office, you can search for houses near your workplace. On the other hand, if you want to live in a small town, you can remove city residences from your home search.
Establish priorities as you search for your dream house – you'll be glad you did. If you separate your home must-haves from your wants, you can simplify your home search and move one step closer to finding your ideal residence.
2. Get Your Finances in Order
How much can you afford to spend on a house? Create a homebuying budget, and you can avoid the risk of browsing available residences that fall outside your price range.
To determine how much money you have available for a home purchase, it often helps to meet with local banks and credit unions. These financial institutions can provide details about a variety of mortgage options and help you select a mortgage that corresponds to your finances.
Also, you should check your credit report before you buy a home. You are entitled to a free annual copy of your credit report from each of the three credit reporting bureaus (Equifax, Experian and TransUnion). Take advantage of this perk, and you can learn your credit score and take steps to improve it prior to purchasing a house.
3. Hire an Experienced Real Estate Agent
An experienced real estate agent understands both the homebuyer's and home seller's perspectives. As such, this housing market professional can help you analyze a home seller's point of view and negotiate the best price on any home, at any time.
Typically, an experienced real estate agent will meet with you and learn about your homebuying goals. This housing market professional then will map out a homebuying journey, one that helps you streamline the process of acquiring your ideal house.
Let's not forget about the assistance that an experienced real estate agent can deliver throughout the homebuying journey, either. A real estate agent can provide expert insights into the housing market and help you make informed decisions, thereby reducing the risk of a nightmare homebuying experience.
Take the guesswork out of buying a home – use the aforementioned tips, and you can minimize the risk of a nightmare homebuying experience.
Seeing your desire to buy a waterfront property through is a big accomplishment. Before you sign on the dotted lines, there are a few things that you should know about the process of choosing the perfect waterfront property for you.
Decide What You Need
The first step in finding the right property of any kind is understanding your own needs. How do you want to use the property? Will it be your year-round home, or will you be there only a portion of the year? Really map out what your priorities are when it comes to searching for waterfront properties. From here, you can figure out what areas you’d like to search in and what type of property you want to find to suit you. What types of activities will you be doing at your property? Will a lake property do the job or do you need an ocean escape? Is canoeing or kayaking a part of your dream, or is simply sitting by the water enough enjoyment for your needs? Answering all of these questions can help you to narrow down your needs for a waterfront property.
As with any other type of home search, you should take the time to scope out the properties that you’re interested in. This means not only looking at the properties themselves but looking at the communities and neighborhoods as well. What does the area have to offer you? Is it near a town or nestled away in a secluded spot? Remember that with a typical house the size of the home is what contributes to the majority of the value of the home. With a waterfront property, the surroundings are key. The closer to the water you are, the more valuable your piece of real estate is. Consider all of the typical factors when looking at properties along with the additional concerns of being close to the amenities and natural pleasures that you crave.
Other Important Things To Consider
Other things that you should consider in finding your perfect piece of waterfront heaven are things like:
- How close is the beach?
- Does the beach or lake have easy access?
- Is there an adequate amount of privacy at this property?
- What kind of view is there?
The more breathtaking the views and the more space between you and your neighbors will give you an advantage not only in your own living situation but in renting out the property and even selling it in the future.
There are a lot of things that go into making the decision of finding the right waterfront property. Sometimes, hiring an experienced realtor in the area can be just what you need to understand all the aspects of your investment from the area to the type of home you choose. Don’t be afraid to hire an experienced realtor to help you in your search.
If this is your first time buying a home, you might feel a bit intimidated by the purchase contract. Contracts are often filled with industry and legal jargon, making them difficult to understand for the average buyer and seller.
Contingencies in particular give some buyers cause for concern because their contract depends on the contingencies being fulfilled. However, in most cases contingencies are pretty standard and only serve to protect the interests of both the buyer and seller during a real estate transaction.
In today’s post, I’m going to give you an introduction to contingency clauses and break down some of the most common contingencies you’ll find in today’s real estate purchase contract.
Contingency clause definition
Simply stated, a contingency clause is a statement within a contract that requires a certain event takes place before the contract is considered legally valid. As a result, contingency clauses are used to cancel or invalidate a contract if certain conditions aren’t met before the sale is made final. So, if one party fails to meet the obligation of the contingency, the other party is no longer bound by the contract (or required to buy or sell the house).
Contingencies can get confusing when they are vaguely worded in the contract, making them difficult to interpret. In these cases, a court may decide the specific meaning of the clause or determine that it is too vague to be legally upheld.
The other instance in which contingency clauses can be confusing is when a party includes a contingency that is atypical for a real estate purchase contract. Buyers and sellers alike should be wary of unusual contingencies.
The main contingencies
Appraisal contingency. Designed to protect the buyer, appraisal contingencies require that a home is appraised at a minimum amount, which is stated in the contract.
Financing contingency. Another contingency geared toward protecting buyers is the financing contingency. It states the number of days that a buyer has to secure financing for the home. This allows the buyer to cancel the contract (and offer) if they’re unable to secure suitable financing for the home.
Inspection contingency. One of the most important and most common contingencies is the inspection contingency. It allows the buyer to have the house inspected by a licensed professional within a certain number of days. This protects the buyer against unforeseen expenses and repairs that will need to be made in the near future.
House sale and kick-out contingencies. A house sale contingency gives the buyer a certain number of days to sell their home before financing a new one. However, since this can be a risky clause for sellers, a kick-out clause is often included. This contingency allows the seller to keep the home on the market and entertain other offers while the buyer secures financing and sells their other home or homes.
A home appraisal enables a seller to learn about the value of his or her house relative to the current housing market. As such, an appraisal represents an important opportunity, particularly for a seller who wants to maximize the profits from his or her home sale.
Ultimately, it helps to plan ahead for a home appraisal. If you prepare for an appraisal, you can use the appraisal results to achieve your home selling goals in no time at all.
Let's take a look at three tips to help you get ready to perform a home appraisal.
1. Learn About Your Home's Strengths and Weaknesses
What you initially paid for your house is unlikely to match the current value of your residence. Fortunately, if you understand your house's strengths and weaknesses, you can prioritize home improvements and complete these upgrades. As a result, you may be able to boost your chances of receiving a favorable property valuation during a home appraisal.
Also, it may be beneficial to conduct a home inspection before you schedule an appraisal. That way, you can use the inspection results to determine which areas of your house need to be upgraded.
2. Assess the Housing Market
The present real estate sector will impact the valuation of your house. To establish realistic expectations for a home appraisal, it often helps to analyze the current housing market.
If homes are selling quickly, this likely indicates that a seller's market is in place. This market favors sellers and may enable you to receive plenty of offers if you establish a competitive price for your home.
Comparatively, if homes linger on the real estate market for many days, weeks or months, a buyer's market may be in place. In this market, you may need to set an aggressive price to help your residence stand out to potential buyers.
3. Consult with a Real Estate Agent
A home appraisal is an important part of the home selling journey. And if you collaborate with a real estate agent, you can work with a home selling expert who can help you maximize your property valuation during an appraisal.
With a real estate agent at your side, you can receive comprehensive support throughout the home selling journey. A real estate agent can put you in touch with the top home appraisers in your city or town. Furthermore, a real estate agent can help you determine how to price your house to ensure you can stir up significant interest in your residence.
A real estate agent also is happy to help you review any offers on your home. If you're unsure about whether to accept, reject or counter a homebuying proposal, a real estate agent can help you weigh the pros and cons of each option.
Ready to conduct a home appraisal? Use the aforementioned tips, and you can perform a home appraisal before you add your residence to the housing market.