Tips for Home Buyers

Select an agent
One of the most important parts of your home buying process is finding an experienced REALTOR® you can trust.  And the sooner you get a REALTOR® involved the better.  A professional agent can guide you through the complex world of real estate saving you time and money.

Here are some tips on how to choose a real estate agent.  Choose an agent who is:

• A full-time agent who is easily available to you via phone and email
• A member of the local board and association of REALTORS®
• Belongs to the area's Multiple Listing Service (MLS)
• Lives, works and is knowledgeable about the area
• Shows enthusiasm and concern for your needs, listens attentively, instills confidence operates in a professional manner, and has a complementary personality style to yours

Finance Facts

The most popular mortgages available to home buyers today can be divided into two general categories:  those which offer fixed interest rates and monthly payments, and those where one or both of those factors are adjustable.

Fixed rate/fixed payment loans are more traditional.  Their advantages are well known:  You always know what your monthly principal and interest payment will be, so your basic housing cost will remain unaffected by interest rate changes until the mortgage is paid off.

Mortgages that entail flexible rates and/or payments have grown in popularity during periods of high interest rates and/or rapidly rising home prices.  Many offer lower-than-market initial interest rates that allow buyers a measure of affordability unavailable in fixed-rate loans.  The tradeoff may be higher interest rates and higher monthly payments later on.

To find out more about current interest rates, financing and lenders, click here.

Look for a home
Prioritize your needs in a home:

• Location
• Number of bedrooms
• Number of bathrooms
• Overall size
• Price range

When you look at a home, pay particular attention to areas that you feel could become problem areas - additions, defects, areas that have been repaired.

How many homes should you look at before buying?  There is no set number of homes you should look at before deciding to make an offer on one.  The perfect home may be waiting for you on your first visit.  The house-hunting process will help you get a feel for the homes in the community and narrow your choices to a few homes that are worth a second look.  Be sure to take notes during your visit about the homes you like.  That'll make it easier to remember.

When you find a home you may be interested in buying, be sure to check out the local schools, churches, shops and recreational facilities.

Make an Offer

How do you determine the amount of your initial offer?  There is really no scientific way to calculate a realistic offer.  Naturally, you as the buyer want the best value and the seller wants the best price.  Negotiations can be influenced by many factors, such as a seller who may be changing jobs and wants to sell quickly, or a buyer who really wants a specific home, the inventory of homes, and the competition from other potential buyers.  It is important to remember that the more competition there is for the house, the higher the offer may need to be - sometimes even exceeding the asking price.

After you've looked at the home´s features, asked questions, checked comparables, and talked about it with your REALTOR®, you should have a good idea of what the home's value is in the current market.  Consider what you can afford, what the market value of the home is, and make an offer that you consider to be fair.  Most buyers and sellers negotiate on price, with both sides giving a little until both agree.

Home Inspections
For your own safety and to make sure you're getting your money's worth in the home you choose, have your home professionally inspected.  Usually, you can set up an inspection immediately after your offer has been accepted on a home.  However, before signing any written offer, make sure that it includes an inspection clause or other language which says that your purchase obligation is contingent on the findings of a professional home inspector.

Your home cannot pass or fail an inspection, and your inspector will not tell you whether the home is worth the money you are offering.  The inspector's job is to make you aware of repairs that are recommended or necessary.

A seller may be willing to renegotiate a price to accommodate needed repairs, or you may decide that the home will take too much work or money.  A professional inspection will help you make an informed decision.

Thinking of buying?  Call David Klein at 415-810-6973.

Buying a home can be confusing and complex

No matter where you find a home you may be interested in seeing, even For Sale by Owners, you need only call David Klein at 415-810-6973 or contact me now!

Hear about a property for sale?  Give David a call and he'll search out the details for you!

See a sign?  David can show you properties that are listed with Prudential or any company or agent in the area.

Read an ad?  David can help you with any home you read about in the paper, no matter what company or individual is marketing the home.  In fact, just circle the ads, drop off your paper and David will find out all the details!