INDUSTRY INSIGHT REAL ESTATE SPONSORED CONTENT
ARE YOU READY TO BUY A HOME?
This is just the first in a series of Industry Insight articles that will be published on the many facets of the real estate market in southwestern Pennsylvania. Future topics will include: steps for first time homebuyers, creative ways to save for your down payment and closing costs, key market factors and secrets for selling a home, issues to consider when trying to sell your home without the assistance of a qualified real estate professional, simple steps to a healthier home and guidelines on when to repair an item versus replacing it.
The decision to purchase a home is a highly personal one, based on both tangible and intangible factors. Your personal situation— whether you have rented all of your life, are a recent college graduate starting your first job and want to move out of your parents’ home, or are newlyweds or young professionals with a growing family, the decision to own a home is a major one. Additionally, local market conditions, financing costs and future expectations must be evaluated. The following list of questions can help you decide if you are ready to move forward with a home purchase. I, along with my team of highly qualified referral partners, would be happy to assist you in sorting through these issues and provide essential local market perspectives. In many cases, when my clients have consulted with one of my referral lenders, they are pleasantly surprised to find out that they can actually obtain a monthly mortgage payment( principal, interest, property taxes and insurance) for less than they are currently paying in rent!
PURCHASING CONSIDERATIONS:
• If you purchase a home, how long do you expect to live there?
• What can you afford to pay each month for housing-related expenses?
• Identify the total costs of home ownership, including:
• Mortgage payments, principal and interest( based on various interest rates, home prices and term assumptions
• Property Taxes
• Home Owner’ s Insurance
• Utilities
• Maintenance Costs
• Any Other Special Fees( i. e., Home Owner’ s Association management fees)
• Do you expect these housing related expenses to increase or decrease over time?( changes in property tax assessment values may be a big factor in your annual property tax expenses)
• What additional expenses are required to complete a purchase transaction?( closing costs, moving expenses, etc.)
• Are local market prices favorable for purchasing? What are your expectations for future price?
• Do you qualify for any special purchasing assistance programs that could help reduce the cost of home ownership?
RENTING CONSIDERATIONS:
• If you are currently renting, what are your total housing expenses?( monthly rent, utilities, laundry, parking, etc.)
• How does renting versus buying factor into your long-term investment goals?
OTHER FACTORS:
• What are your personal preferences regarding the type of housing you wish to live in?
• How does loacation factor into your housing preferences based on your current employment and lifestyle situation?
• How do you expect your personal situation to change in terms of future housing needs?( marriage, starting a family, moving a parent( s) in with you to care for them as they age, etc.)
• What are your expectations concerning future employment opportunities?
• What are your long-term personal and financial goals regarding housing??
As you can see from this list of questions, there is a lot to consider before taking the leap into home ownership. I have a Home Buyer’ s profile exercise that I would be happy to share with you, as well as referral partners for financing, insurance, financial planning, etc., who would be available to assist you in analyzing your personal situation and suitability for home ownership. Please contact me today at your convenience.
This Industry Insight was written by Darlene B. Kruth, a Sales Executive with Northwood Realty Services. Darlene is a licensed real estate agent in the state of Pennsylvania and has designations as an Accredited Staging Professional(“ ASP”) and a Seniors Real Estate Specialist(“ SRES”). For more information regarding Darlene’ s services and qualifications, please contact her at 412.831.0100 x3013( office), 412.874.0415( cell), or email her at dkruth @ northwood. com.
18 724.942.0940 TO ADVERTISE | South Fayette