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How to buy a House

For many people, it’s the biggest financial transaction they’ll ever make. That’s why doing it right the first time is so important. Sometimes, buying a house can feel like a dizzying set of rules and regulations. Luckily, armed with the right knowledge and know-how, you can start realizing your homeowner dreams the fast, easy, effective way.

Shopping for a Home

1.Find a good real estate agent to represent you in the search and negotiation process. The real estate agent should be: amiable, open, interested, relaxed, confident, and qualified. Learn the agent’s rates, methods, experience, and training. Look for a realtor who lives local, works full time, closes at least several properties per year, and has a reputation for being busy.

2.Sign up for an MLS alert service to search on properties in your area. A Multiple Listing Service will give you a feeling for what is on the market in your price range.

3.Start looking for houses within your range. Allow your realtor to start working for you, but know what’s within your budget and what’s not. The general rule of thumb here is that you can afford a house that’s 2.5 times your yearly household salary.

4.Start to think about what you’re really looking for in a home. You probably already have a vague idea, but the angel’s in the details

5.Define the area you’d like to live in. Scout out what’s available in the vicinity. Look at prices, home design, proximity to shopping, schools and other amenities. Read the town paper, if there is one, and chat with the locals.

6.Visit a few open houses to gauge what’s on the market and see firsthand what you want. Pay attention to overall layout, number of bedrooms and bathrooms, kitchen amenities, and storage.

7.Look at comparable houses in the neighborhood. If you are unsure about the price, have the home appraised by a local appraiser, who also look at comparables.

Making an Offer

8.If possible, tailor your bid to the seller’s circumstances. This is not easy, and often impossible, but it doesn’t hurt to try when making one of the biggest purchases in your life.

9.Look at comparables when you make your bid.

10.Calculate your expected housing expenses. Estimate the annual real estate taxes and insurance costs in your area and add that to the average price of the home you’re trying to buy.

11.If you absolutely fall in love with a home, be prepared to make an offer that’s above the asking price.

12.Talk to your realtor when you’re ready to formally present your offer.

Finalizing the Deal

13.Determine how much of a down payment you’ll need to offer up front. A down payment establishes equity, or ownership, in a home. That’s also money that you don’t have to pay interest on.

14.Make sure final acceptance is predicated on a suitable home inspection.Request the following surveys and reports: inspection, pests, dry rot, radon, hazardous materials, landslides, flood plains, earthquake faults and crime statistics.

15.Have a home energy audit completed on the house and ensure that the contract is contingent on the outcome.Getting a home energy audit is an essential part of the home buying experience. Not knowing what it really costs to heat and cool a home is a potential financial disaster waiting to happen.

16.Finally buy house