Buying a house is one of the most significant investments that most of us will make! It’s wonderful to own your own home and be free to fill it up with pets and paint the walls neon pink if the mood should take you.
However, it’s also not a decision to be taken lightly. If you aren’t careful, you can end up spending more than you planned, or worse, stuck in a house that you don’t like all that much.
To make sure that you end up falling in love with the house you buy and that you don’t spend more than you can afford, there are a few things you can do.
Work out the true cost of buying
First, it’s important to note that the house price listed on the realtor’s website isn’t all that you will pay.
When you are working out what you can afford, be sure to include the associated costs, too:
- Closing costs – These are things like loan fees, legal expenses, surveys, title searches, taxes, and homeowners insurance. Depending on the value of your property, this can be anywhere between $6,422 and $16,066.
- Moving costs – Even if you pack up your current home and move everything yourself, you’ll still need to account for the cost of van hire and petrol. Hiring a professional mover will increase your moving costs but will also make your life much easier.
- Furniture – Chances are that your new house won’t be exactly the same as your old one, so you’ll need to buy some new furniture items and things like curtains and light shades.
It’s also important that you get a good idea of what the running costs are likely to be for your new home. Speak with the realtor to get an idea of what your utilities are likely to cost, as well as any homeowner association fees. You should also factor in maintenance costs. For example, if your home has a chimney, there are costs associated with keeping it clean. If you have a lawn, you will need to keep it well maintained.
Learn about the area
You can change a lot about a house once you own it. Don’t like where a wall is? Knock it down! Hate the lawn? Pave over it!
However, you can’t change your neighborhood. It’s important that you find out as much as you can about an area before moving there.
Speak with a local estate agent like robertoandco.com who knows your area well, to get as much information as you can. You can also make good use of Facebook and other social media platforms to reach out to your potential neighbors and see what they’re like. Plus, you can spend some time in the area, sit in a local cafe or bar, and see what you think!
What to look out for at the viewing
When you view the property, there are some things to look out for that could lead to hidden costs. You should check for:
- Signs of damp
- Structural soundness
- Which way the property faces (so you know which rooms will get sunlight)
- Are the rooms big enough?
- Is there enough storage, or will you need to put in extra?
- How old is the roof?
- Are the electrics and plumbing in good condition?
- How old is the boiler?
You are essentially checking for anything that might lead to an additional cost. It doesn’t have to be a deal-breaker; however you can ask that the cost of any work be taken off of the property’s cost.
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