Buying a home in California is one of the biggest purchases we will most likely make in our lifetime.
There was a good article recently from Pacific Union about homebuying (see link below).
This experience is a major investment in time, money, and emotions. The process can definitely be intimidating for first time home buyers, particularly.
And the anxiety doesn’t end when the papers are signed. There are worries that plague every homeowner even after the keys have been delivered. Here are some helpful tips to benefit new homeowners in today’s market:
1. Being “House Poor”:
This is a situation where the person is paying a large amount of their total income just to maintain the roof over their head. These people have little discretionary income and might even find it difficult to cover other financial obligations. Knowing what your budget can afford before beginning your house hunt will prevent you from falling into this trap.
2. Not Understanding Escrow, Mortgage, and Taxes:
Real estate terms and procedures can be very confusing for the uninitiated. Having your agent and/or broker explain terms and processes in laymen’s terms is critical if you are to feel confident making this major decision.
3. Unexpected Expensive Home Projects:
No one expects to be buying a “money pit”, but if a home inspection does not reveal a potential problem, the buyer needs to be prepared to pay for the repairs. For this reason it is mandatory to review disclosures and pest reports so you can plan.
4. New Neighborhood and Neighbors:
Do your homework before you move in. Take a few tests runs at various times of the day and night to get a feel for commute times and any environmental issues, like noise. Get to know your neighbors. They can be a great source of information regarding service providers.
Worrying and anxiety over a home purchase in California does not necessarily indicate regrets, even though studies have shown that half of home buyers would change some aspect of their buying experience. In the end homeownership is very exciting and few regret their decision to embark on this adventure.
If you are looking to purchase a home in San Francisco Bay Area, Los Angeles County, Santa Rosa, or other areas in California, consider our Hard Money loan programs as an alternative financing option. Call for a free consultation today, (707) 523-2099.
Pacific Union article: http://blog.pacificunion.com/what-are-new-homeowners-biggest-worries/