TIPS ON PURCHASING A HOME

LOCATION

Decide on the type of housing to purchase and the general location to live. Although needs differ from family to family, there are certain general guidelines which every potential homebuyer should consider. The following represents some of the items to consider:

  1. Availability and quality of schools in the area.
  2. How close you are to work.
  3. Availability of shopping centers, churches and recreational facilities.
  4. General condition of homes in the neighborhood.
  5. Property taxes compared to similar houses in other neighborhoods.
  6. Utility rates (gas, electricity, water, and telephone).
  7. Police; fire protection and garbage collection.
  8. Availability of public transportation.
  9. Quiet neighborhood or on an arterial street.
  10. Rural or Urban

PRICE

Give some thought into the approximate price range of the house, and how the monthly payments will be made once the house is occupied. During the qualifying interview, the REALTOR® helps determine the price range and/or payment that will be comfortable.

BEFORE BUYING

Once the prospective purchaser has found the house that seems to be "just perfect", the tendency is to want to close the transaction right away and move in. STOP! Before getting swept away with the excitement of the moment, there are a number of things to check. The time to ask your REALTOR® questions and check facts is before buying.

  1. Condition of the house – A Seller’s Property Condition Disclosure form, completed by the seller, is required on most residential real property. This form is to be furnished to the buyer before making a written offer. This form can be utilized during the inspection of the property as a "checklist" of items to review. A person qualified to perform inspections can point out any concerns or problem areas. The money spent for an inspection may be a very wise investment. If obtaining a loan, most lenders will require a survey. Whether or not a loan is obtained, it may be wise to have a survey done prior to closing.
  2. Zoning Restrictions – Ask how the area is zoned. Zoning is established by local government and designates the type of buildings and how they may be used, such as: residential, commercial, and industrial.
  3. Restrictive Covenants – These are private agreements that restrict the use and occupancy of real property. Such things as the purpose of the structure to be built, architectural requirements, setbacks, size of structure and aesthetics are only some examples. The consumer or REALTOR® can contact the Register of Deeds to obtain further information.
  4. Taxes – Find out the cost of property tax and if there are any special assessments regarding roads, streets, sewers, electrical, etc. Also check if there are any property tax reduction programs affecting the current year’s taxes.
  5. Easements – An easement is a right or privilege one party has to the use of another’s land for a special purpose consistent with the general use of the land. Easements are commonly given to telephone and electric companies to erect poles and run lines, as well as gas and water companies. Other easements can be given to people to drive or walk across someone else’s land. The consumer or REALTOR® can find what easements exist on the property by contacting the Register of Deeds.
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