Advice for home buyers in Delaware

Buying your first home is an exciting proposition – but it’s also slightly terrifying. The small print, the sales-driven realtors and the abundance of choice make things a little daunting for those who have little experience in the market. It’s enough to send your head into a tailspin. Here’s some advice.

When looking for homes for sale in Delaware, it pays to do your research. If you’re a first-time buyer, make sure you consider the following tips before making that all-important final call.

Be Aware of Market Value

Buying a property isn’t just about what you can afford or whether you like the place or not – it’s also about making a good investment. Do your due diligence on the home you’re considering. Do the following to get your hands on a rough guide price:

  • Consult local real estate agents – don’t limit yourself to a single agent, but go to several. Ask for properties in the local area to get an idea of the market and the neighborhood you’re considering.
  • Past Sales – Many people don’t do this, but it’s a very good indicator of what you should be paying. Go through sales that have gone through in the last year or two.

This will equip you with a very good idea of what you should be paying for a given property. NEVER enter a buying proposition without being aware of the market – after all, you’re looking for a sound business deal as well as a home to live in.

Mind Your Budget

This is a mistake that a large majority of first-time buyers will make. The reason for this is that we stretch out our finances to the absolute maximum – that ‘dream home’ is sometimes too strong a pull, leading people to make bad choices.

Always stick to the budget you’ve set, no matter what. Just a few thousands dollars more can land you in a financial position that may lead to foreclosure in the future. Remember, there are several ‘ideal’ options for you out there – stick to the one you can afford. Use this handy calculator to find out just how you stand.

Boost Your Credit Score

Before you apply for a mortgage, make sure your credit is in top condition. You don’t want to end up with a subpar mortgage that doesn’t give you the best deal possible.

Maximize your options by checking your credit well ahead of time. If it doesn’t give you the results you’re looking for, work on it and try every trick in the book to boost it. Ensure your financial affairs are in order first – only then will you be in a good position to apply for a decent mortgage deal.  This article, from MoneySavingExpert.com, has more on credit scores.

Finally, Do You Really Need to Buy?

Many people jump into buying a home without really knowing whether it’s right for them. It’s often assumed that buying property is the best investment you can make and while this is generally true, it may not be the case in your personal situation.

This isn’t aimed to dissuade you from buying, but rather to advise you to line up your options clearly and without bias. Consider whether buying a home fits into your financial picture. You can always stick it out another year or two and invest then. It’s all about waiting for the right moment.

The Real State of the US House Market

With the economic recession looking to be at an end, there are a number of sectors and markets that are showing signs of genuine repair and are actually encouraging the increase in the global economy.

housing market article pictureOne of the most affected areas was the US housing market with real estate experts such as Fort Myers at a loss as to how to repair the incredible damage that was being done to a once thriving part of the American economy. Fortunately, the strength of American real estate prior to the recession has meant it is one of the first industries to show significant signs of repair and is now the inspiration for other sectors. It is also a strong support for the American economy to pull itself out of the financial problems it has faced since 2008.

The housing market is reported to be two thirds back to normal with house sales currently at pre-recession levels. Sales are up by 29% in comparison to last year although construction rates are still low with a minimal increase of 1% since they were last reviewed in July 2013.

The Bubble Effect

bubble effect article pictureThe recession in the US really struck after the housing market bubble in 2006. The term ‘bubble’ relates to an economic bubble that affected multiple parts of the housing market but most notably and significantly, house prices.

In 2006, house prices began to fall, which carried on, into 2007 and by 2008 they were at an all time low with little warning and no suggestion as to how the problem could be rectified. By the beginning of 2012, house prices were at an all time low and showed no sign of increasing anytime soon, until recently when the recession began to show signs of being at an end and consumer confidence was on the rise.

The economic bubble had a negative impact on home values, mortgage markets, builders and real estate agents all of which are recovering although slower than the valuation of homes.

The Future Looks Promising

 In 2009, the US Government allocated $900 billion to US real estate and this investment has been one of the factors behind the industry being the most successful as the recession begins its end.

For the first time in 5 years, consumers are confident and are investing in property, which is allowing the boost in the housing market to be maintained. Although house prices are still 17% lower than pre-recession figures, the gradual rise and the increase in consumer interest the real estate industry looks set to help the rest of the country come out of the recession and lead by example for remaining industries.

Amanda Walters – This article was written by Amanda Walters, an experienced freelance writer and regular contributor to Huffington Post. Follow her here: @Amanda_W84

Image Source:

http://www.etftrends.com/2012/08/etf-spotlight-small-cap-u-s-real-estate/

Buying a House Is a Great Investment but Takes a lot of Time to Find Right Mortgage

My boyfriend recently went through the process of purchasing a home here and let me tell you what, the process is unlike it used to be back when I purchased my first home in 2005. There are so many mortgage options available with different rates as well as different regulations set forth as to what type of home you can purchase. Check out Canadian mortgage rates online or you can check out American mortgage rates online just about anywhere on the Internet. I believe checking out the mortgage rates in your area is the first step in any home buying decision.

Buying a house with a View

There are a lot of other factors, aside from just the rates that may take place when you are looking to get your first home mortgage. The type of home you are hoping to get into, the views the home has all may play a key role in what location you decide to purchase a home. Maybe you wish to have a home with a lot of acreage so that the family can run free and have a blast playing outside instead of constantly complaining that they have nothing to do because your yard is too small. Some people look at the local attractions when seeking to get a first time home mortgage, such as whether there are trails around the area to enjoy for nature walks or four wheeling.

When we were out shopping for a home we basically wanted to make sure that there was space inside of the house for all of our family as well as a decent backyard for we are an outdoor type family. While we ended up with half an acre and a decent sized home, getting into the home took some time. As I said in the first paragraph, different types of home mortgage companies have different regulations; depending upon the type of mortgage loan you choose or are eligible for you may be placed in a position to be a bit more picky about the location and type of house you purchase.

Whether you are looking to buy for the first time or purchase a second home, checking out online mortgage rates is the best way to determine if 1) you can afford such a decision right now and 2) if you would even save money in purchasing a home in the long run. In my local area it is much more cost effective to purchase a home with a mortgage than it is to rent a home or apartment. With the cost of living rising and income for employees staying around the same, you have to make certain that your home mortgage choice is what fits your families needs both financially and long term growth wise.

Military Loans to Purchase Home

If you are in the market to purchase a home and are from the military you can look into a wide variety of options for Military VA Loan. These days many are looking to save money but at the same time grow their family. What better way to grow your family than to settle down some roots in a place you want to stay in forever?!

With a Military VA loan you can essentially purchase a home without a down payment. Upon approval you can still get the option to have the seller pay all of your closing costs.  I love the idea of having the seller pay all of the closing costs. When I purchased my home years ago, I was fortunate to add the closing costs to my loan total which meant no out of pocket for me at the closing of my home purchase.

VA loans are at a record low right now and it’s a great time to start looking into purchasing a home for your family. Look into options that will be right for you as well as save money on the upfront costs that can be included when you first purchase a home. Be sure to get educated on the best way to buy a home, best loan to use for your situation and always get pre-approved for a loan before you go looking at homes, this ensures you are looking at homes within your accepted price range. Sellers tend to look at those with a pre-approval in their hands more seriously than those without it.

Looking for a Florida Home Builder

Are you looking to move to Florida now that the Winter season is headed our way? I know I would love to have a second home in Florida but in order to do such a thing you must find a good Florida home builder! You will want quality, excellent skills and a fantastic reputation from this company. Be sure to educate yourself about the various areas of Florida to ensure you choose the correct location for you and your loved ones.

You see, purchasing or building a home is a major investment, but it’s one that can pay off if you do it right the first time! Having your own home means you will have more responsibilities but also means some cool tax write offs, of course be sure to check with your local IRS to ensure you know what write offs you could potentially have with a home purchase or build.

When you are seeking to purchase or build a home you will want to start off by getting mortgage information to ensure you are able to afford and get approved for a home loan. Once you have in the clear for a home loan you can then start searching for your Winter home or full time Florida home.

Location is key and if you are someone who prefers country or city setting you will want to ensure all of your wants and needs are met in the location you choose. Gaining a home loan to purchase a home means that you will be putting forth a serious investment in your future. This could be something handed down to your children, or if your children are already grown up then they will have a nice place to visit in the warm, sunny Florida region with their children.

So please just remember that purchasing a home is something to take seriously not lightly.

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