Purchasing a House is easier when you are informed and confident
If you've completed steps one and two, you now have a select short-list of excellent houses that meet your personal needs. It's time to go shopping.
Actually purchasing your house is probably the most exciting part of the buying process, but there is a little work remaining if you want to maximize your purchase potential.
You know what you need and what houses meet those needs, but you still have to decide where you'll buy the house, and who from. If you do have a couple of houses on a final short-list, you'll want to do some additional comparison shopping, so you can find the best deal. You also need to know what kind of final checks to make, and what questions you should ask before you sign on the dotted line or hand over that hard-earned cash.
Tip: If budget is a major limitation and you really need a larger property, it is always worth checking out the house auctions and foreclosure market. Although this marketplace is quite competitive and you may be up against developers and investors, there are lower priced properties to be found that may be a little more dilapidated than you would normally consider. If you've got the time and don't mind the challenge of renovation you could end up with much more house for your money.
How will you purchase the house?
Buyers now have a number of choices when it comes to buying houses. These can be broken down into two major options - in person or by remote purchase. Some people aren't comfortable with remote purchase options such as the internet, and prefer to buy directly from an actual real estate agency.
Remote Purchase:
- Internet - real estate agency, real estate site, auction site, private seller
In Person:
- Retail - real estate agency
- Private seller
Each option has different advantages and disadvantages, and these may be influenced by your individual taste and previous buying experience. For instance, staff at real estate agencies can usually offer the most knowledgeable advice, but on the other hand the prices are often more attractive through private sellers. Experienced salespeople can be invaluable if you are still unsure about whether to buy that house in the inner suburbs or one a little further out with more land.
Buying online can give you excellent opportunities to shop around and compare discounted prices. Here it is particularly important to have a trusted professional report on the property before you buy.
Carefully weigh up the pros and cons to determine which option is most suitable for you.
Tip: Remember, regardless of how a house is offered for sale, if a deal sounds too good to be true then it probably is.
Choosing a seller
Many factors have an influence when deciding where to buy a house, and these need to be weighed up; you may have a tight budget, in which case the sellers who offer the best prices will be most attractive to you. Alternatively, you may prefer to deal with a seller who can offer multiple listings, has excellent customer service and employs knowledgeable, friendly and helpful staff. The major factors that need to be considered are presented below:
Choosing a Seller Agent Checklist
- Reputation - time established, fair dealing, complaints record, good name, reviews
- Price - less for cash, bonus schemes, rebates
- Sweeteners - some developers are more likely to add items to 'sweeten' the deal, such as utilities or rates paid for the first year
- Extras - check what extras are offered with the house
- Customer service - product knowledge, at point-of-sale, after service
- Support - maintenance and repair services organized, troubleshooting and advice
Other considerations:
- Where possible look for members of professional associations or bodies
- A prior relationship with a company can be a big advantage
Tip: On older properties there may be guarantees on remedial work like woodworm treatment, cavity wall insulation, underpinning and chemical damp-proofing that has been carried out over the years. If a problem recurs during the guarantee period you should be able to have the work redone, in theory. Always have a property that you are considering buying thoroughly checked out by a trustworthy and experienced building inspector or surveyor. His fee will be worth every penny if he uncovers serious structural problems that would otherwise lead to enormous repair bills.
Once you have factored in all these different considerations, choosing who to buy from often comes down simply to your personal preference. It is important to buy from a reputable, reliable seller, as this offers you the most protection if something goes wrong.
Tip: Online forums, blogs and review sites are excellent sources for finding out a seller's or agent's reputation for good service and fair dealing.
It's a good idea to anticipate any issues associated with your purchase that might arise either immediately after buying the house, or in the months and years you will be living in - and enjoying - your new home.
Buying a house can be an enjoyable and rewarding experience. Once you've worked your way through all three steps of the
Buyz123 three step guide you can buy exactly the right house for your needs.
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