When you wish to buy the new home for yourself, there are so many things and factors to be looked upon. And, the questions which you should ask before buying a new home.
You must also be having many doubts and thoughts which are going through your mind, in this written piece you will get to know about the important questions which you should ask before buying a new home.
Most of the people are very new to the home buying process, and most of the time they only find the weekend to search for the house and to visit the house.
Most of the time real estate agents will also ask you if you are having questions about the new homes, and this situation makes you look like a confused person as you must be having many things to ask about but you don't know what to ask them.
You don't have any idea about what types of questions you should ask and what are the crucial aspects you should know before buying the new home.
It is often seen that the most of the new home buyers just jump into buying their first house as they can't restrict themselves to fall in love with the home.
So, you should always be wise enough to ask a few important questions before the new house for you and before you sign all the required documents needed to buy the home.
Below are three main issues which you should be the concern of, and ask your agent before buying the new home:
· Offering Price Of The House:
You should always ask yourself the basis of the offering price for your home. If you are offering them the price which is based on the various other homes which you have toured, then you should understand that those homes have not carry any weight for an appraisal until they are close.
You should always make your offer on the comparable sales nearby, and it should not base on the what other sellers are asking for to sell their house.
· Condition Of Home:
You should always ask for the estimates for the repairs, and it is not advisable that you jump to the conclusion automatically assuming that all the repair work will cost thousands of dollars.
It is also not advisable that you assume that you can deduct the cost of the anticipated repairs from the sales price, as you must not be known that the price might already be adjusted for that factor.
· Location Of Home:
You must always make it a point that the location of the home is having the great impact on the price of the home. You will also not want to buy the home in the bad location as there will not be any resale value and also it will be difficult to resale the home in that location.
Many new home buyers have been observed you have bought the house in the bad location and the main reason for this was they get attracted to the interior of the house.
But after a few years, they have realized that they have made a big mistake buying the home in that location.
Most of the new home buyers also make some mistakes regarding location as they failed to observe them, like having a train track nearby or having the double-story building near your house. You should always double the location of your probable house.
You can also gather some of the information from the Zillow.com or other informational websites available on the internet, but while gathering such information, you should always make it a point that some the information can be incorrect.
For example, the computation done on the Zillow is not that accurate for the pricing of the homes, as in some of the areas size and configuration are not much confirmed.
But this will give you the general idea about the value of the houses in any particular area. But you should always understand this is not a substitute for the agent CMA or an appraisal.
The Questions Which You Can Ask About Price Offering
Most of the times it has been observed that the home buyers often evaluate the price, by comparing similar homes in the household or neighborhood.
But that should not mean it should be your asking price, as asking price can be somewhat very different from the actual value of the home.
So, it is not advisable to rely on the neighborhood prices before offering any price to the seller.
Here are some questions which you always ask before making an offer to the seller:
· How much did the seller paid while purchasing the home?
While at what price did the seller paid to purchase the house is not directly should concern you, but it will help you to know that whether the price has gone up or down since the seller has bought the home.
In case it is foreclosure flipper, you will not be able to secure financing for the ninety days. When you get the previous price not focus on it, just use that information for the specific purpose.
· How much does the seller owe?
If you have found that the seller owes much more than the price offered, then it is evident that you are opting for the short sale, or seller will need to bring cash to closing.
In case if the seller is needed to write the check to close the escrow, then you can evaluate that you are very unlikely to get the seller to pay your closing costs.
Seller will also not offer you to pay any repair costs, in this case; it would be better for you if the seller is having a lot of equity.
· How much similar homes sold in the neighborhood?
It can be your best indicator as far as the price of the house is concerned. As the bank, from where you are getting the loan can rely on those comparable sales and can compute the value for your house.
Your agent must have the list of the recently sold similar properties in the neighborhood.
· How many offers have been received by the seller?
There can always be the possibility that some of the homes generate plenty of offers. In that event, your offer needs to be very strong so that you can be in a strong competition.
It is advisable not to get afraid of the multiple offers as it is seen that most of the times the last offer submitted are the winning offers.
· How long has been the home is being in the market?
If you get to know this, you will always be able to get the discount if you found that the home has been on the market for about more than 90 days or longer.
But all of these is dependent on the local real estate market, or the days in which the home was in for the market. You should make it notice that in some areas like the rural one the home can be on the market for about 360 days or more.
Ask Questions About The Home Conditions Before Buying The Home
If you were able to know the interior and structural issues of the home or deferred maintenance, then you can always consider points while making an offer price for the home. Below you will see the questions which you should ask about the conditions of the home before buying it:
· How old is the roof of the home?
As a new home buyer, you should always inquire about the condition of the roof, as most of the roofs are having the life expectancy of about anywhere between 15 to 50 years.
The materials used in those roofs are the main reasons to decide the life expectancy of the roofs.
As a buyer you should always worry about the condition of the roof and the lender may be requiring some repairs before the closing, and who is going to pay for that is the big questions. So, as a home buyer make it clear to know the condition of the roof.
· What is the type of foundation of your house?
You are to inquire about the type of the foundation of the house, as raised foundations will easily allow access under the home to reach for the electrical or plumbing work. The same thing is true with the homes which are having the basements.
You can also ask what was existed in that area before the new homes were built. Now a day's slab foundation is the most common in constructing the buildings and houses.
You should always need to know whether the builders put up some new subdivision over a wetland area which is now facing the issues with drainage and dampness.
· Do the homes is having insulation wall and the attics?
If your house is in the colder climates, then insulation is very important. And you must be knowing that each locale set up standards for the R factor.
If you opt to insulate your home after buying it will surely cut down your utility bills, but it will not affect much on the market value of your house. So, it is very important to inquire about the insulation wall and attics before buying a house.
· If any systems or appliances have been replaced, and if yes when they got replaced?
If you are looking to buy the new home, it is a plus factor if you are having the updated plumbing and electrical appliances. There may arise the situation when the older appliances can't be replaced or repaired anymore as the parts are no longer available.
As a home buyer, you should always look for whether the appliances are in their newest trend and always make sure they work as intended. New home buyer should always inquire and ask questions about the appliances installed in the home.
Ask Questions about the Home Location before Making a Closing
In the field of real estate, one can always hear about the 'location' number of times. You should always understand the home is desirable location is worth more than the same home located in the undesirable location.
Below are the important questions which you should ask about the location of the house:
· What are the types of properties located nearby?
You must always inquire about the location of your home as if there are industries and commercial companies nearby, the value of your home will not affect much in coming future.
You should always make it a point that if the home is 'cheap' at this stage dues to its location, it will remain the cheapest home only when you want to resell it.
· What is the demographics of the neighborhood?
You should always talk to the neighbor to get this information. You can always get this information from the title companies but still, you should ask the neighbors, your real estate agent and can also do your research in the library.
Where are the schools & other necessities? If you are the parent, then schools must be the main concern for you and you would always like to know how long is the school from your home.
In California, it does not matter whether you buy the home with certain school boundaries, as it will not guarantee you for your children to get admitted to that school. Besides that you should always inquire about the necessities are available nearby or not.
· Are there any nuisance factors?
As a new buyer, you should always keep in mind that the traffic from the restaurants or stores nearby can be very irritating. It may be possible the sound of the traffic may not get heard by you in the daytime, but during the night the clatter and constant hum will get louder.
Even you will find that there are some barking dogs in the locality. So, you should always get an idea of these nuisance factors.
You should always make it a point that the real estate market is subjected to many swings. At some time it can become the seller's market or a buyer's market, or at sometimes it can also become a neutral market.
If you have opted to buy the house when the market is smoking hot, you won't even find the time to ask many important questions, and the home will be sold to someone else. You should always ask your agent to have an insight of type of market.