If you’re a long time renter, and starting to examine the purchasing process, here are some helpful tips to ensure that you’re making a smart decision to purchase. It can be surprising how much work and effort goes into buying a home, and a smart decision would be to get qualified by a lender to determine which price range would be the most affordable, and to interview with a few Real Estate agents to find the perfect person to represent you in your first transaction. Once you’ve been qualified, and have a price range to aim towards, you’ll be able to check out different neighborhoods. It is also important to research your agent; have they sold multiple properties in the last year? Make sure your paired with someone knowledgeable in the area you’re looking to live, and someone with an up to date license.
Once you have narrowed down the price range, and right neighborhood, be certain that you’re looking for a property that you can live in for a minimum of five years. If there is nothing in your price range in the neighborhood you desire, it might be worth staying a renter and saving additional funds, so you can afford to buy in the area you want to live. An owner typically does not earn equity on a home until after 5 years, which is generally the breaking even point, according to Zillow statistics. Buying Real Estate can be expensive, risky, and time consuming, so make sure you do your homework, take your time shopping around, and take time to research the real estate market where you’re considering buying.
Renters in today’s market may have seen the value of their parent’s homes sky rocket, then deplete, or they most likely know someone who’s home is up for foreclosure. According to a survey done by the PulteGroup, The hope of home ownership is still in the air for many who rent and want to buy. Survey results showed that 60% of renters who said they would like to buy a home in the future have increased their intent to buy a home in comparison to a year ago. 61% of those folks also said they planned to purchase a home within the next two years.
When asked if they thought buying a home was a good investment, 44% of those poled said yes. According to Builderonline.com, the PulteGroup’s responded to the overall survey results with “We are seeing a renewed sense of optimism, especially from young professionals and young families visiting our communities nationwide,” Deborah Meyer, PulteGroup senior vice president. Many factors went into this survey and interestingly enough the pole also found that just over 1/4 of those poled believe that renting is cheaper than buying, and a little shy of a quarter are still worried about a stable job. For more information on Rentals and For Sale listings in the area, visit Craistlist.