1. Can You Afford It?
Many people buy a home they can’t afford. Before they know it, they’re in over their heads financially and have to file for bankruptcy and risk losing their homes. Before making a bid, sit down and come up with a realistic budget. If the mortgage takes up more than 30 percent of your take-home pay, you probably can’t afford it.
2. Can You Afford the Utilities?
Look at the type of utilities the home offers. If the furnace runs on oil, you can contact a company such as oil delivery Hopatcong NJ, and wind up paying far less on your heating bills each winter. The same goes for natural gas. An all-electric home may cost more, so think about the utility bills before buying a home.
3. What Condition Is it In?
Knowing the condition of the home is also crucial. Don’t worry so much about the way the house looks, but whether it’s structurally sound. Does it have a solid foundation? Is the roof in good shape? Are there cracks running along the walls? If all these aspects of the home are good, then you can worry about making the place pretty later on.
4. Is it in a Good Neighborhood?
Location is crucial when considering a piece of real estate. Find out about the local school district even if you don’t have children. If the schools are good, you’ll be able to sell or rent out the home should you have to move. Also, is it a safe neighborhood to live in, or do all the neighbors have bars on their windows?
5. Can You Live There for Years?
The longer you live in a home, the greater the return on your investment, so think about whether the house is one you can live in for years to come. Prepare for retirement by making extra payments on your mortgage during the first three to four years you live there. Making extra equity payments during those first critical years could shave years off your mortgage down the road, providing you with a mortgage-free place to live when you’re ready to quit that job.
