Answers to Common Home Buying Questions in Palm Beach County, FL
Purchasing a home is one of the biggest milestones in an individuals life, but it requires a great deal of thought and careful research before doing so. This will be the location you live in for years to come, so make sure all your questions are answered before investing. Because of the complex nature of home ownership, there are often many questions – here are answers to some of those most commonly asked:
What should I do before buying a home?
Finding an agent to help you walk you through the home buying process is critical. At Treu Group Real Estate, we know that buying a home is more than just number of bedrooms and baths. Buying a home is about hopes, dreams and future memories. We are committed to our clients and helping them make the right long term decisions. One of the ways we do that is to do a proper consultation. By spending a few minutes together before we start viewing homes, we will save time and money.
What is the difference between a buyer's agent and a transaction agent?
Is there a difference between a buyer's agent and a transaction agent? Yes there is and it is about how you are represented. We believe every client has the right to consider having an agent on their side when buying. Click to read more about buyer's agency and transaction agency. Here is a short video about the difference about a buyer's agent and a transaction agent.
How much can I afford?
Take a look at your ideal home -- the one you are interested in purchasing. How much is the initial payment? How much would the monthly installments be? Now take that payment and add it into your budget, thinking realistically about how much you can afford. If the monthly payment on your loan is too much, try negotiating with the loan agency for smaller monthly payments, or consider selecting another home with lower payments. You have to be careful not to let yourself be buried in debt.
The lender will check your credit. There are numerous sources for credit reports. The higher your score, the better the loan you will qualify for. If you feel that anything on your report has been made in error, look into it and dispute it if necessary. Doing so can increase your credit score and make the entire process easier.
Why should I buy instead of rent?
There are many reasons why you should buy over renting. The cost of rent is often higher than a monthly mortgage payment, and the money is essentially thrown into the wind. When you buy, you are making an investment towards your future. When that mortgage is paid off, the home is yours. Also, with a home you are able to modify it as you wish. Rentals have restrictions on the changes and work you can do inside.
How do I choose the best mortgage loan?
The way to select the best mortgage loan is to evaluate your current situation. Will you be able to handle the payments in the coming years? What kind of interest rates are you looking for? These all play a factor. The 2 most common home mortgages are fixed-rate mortgages and adjustable rate mortgages. Fixed rate mortgages are loans that have a set interest rate for the life of the loan. That means you can count on the interest rate and payments to be the same. Adjustable rate mortgages can change their interest rates (at predetermined times) for better or worse. They can offer lower interest rates in the beginning, but it's subject to change.
What should I look for when deciding on a community?
That's a preferential choice that should be made based on your lifestyle choice. Do you have children? Then perhaps you could look for a family-centered community or a location near a school. If you prefer entertainment, look for a community with easily accessible public transportation or nearby movie theaters/shops.
How do I make the right offer on a home?
When you find a home, don't be intimidated by the cost. Remember that it is a business transaction, and the owners are trying to get the most they can. There will be some haggling involved. You want to bid high, but not so high that it tilts the game in their favor. However, going too low puts you at risk of being outbid. A good starting point is about five percent under the asking price. Do some research and find out what similar homes have gone for to see what the average price might be, and make your decision on that.
Buying a Home in Palm Beach County, FL
Buying a home involves a lot of time and many steps, but it is a great investment that will last you for years to come. You can find the answers to your questions online, or you can ask us for help. The key is to not be intimidated, and to stay persistent. You'll find your dream home soon enough.
The great news is that you don't have to do this alone. Having a real estate agent by your side that knows how to help you find your dream home, negotiate the best deal and handle all the details, makes it all possible. Treu Group Real Estate is here to represent you and help you get to the closing table.