They will also check out the roof and investigate the state of the kitchen appliances
Home inspections are a normal part of due diligence. A home inspector will look at the heating, cooling, plumbing, electrical system, and appliances.
Then the home inspector will summarize their findings in a report. If the home inspector indicates a number of minor repairs, you may be able to ask the seller to cover these. But if the repairs are significant and costly, you might want to walk away from the house.
Plan on Other Inspections
It’s also wise to inspect the home for other issues, like radon gas or lead-based paint. These are potentially deadly problems that you’ll want to fix right away. The last thing you want is bugs in your house that are destroying the foundation!
And your lending agency will have someone appraise the home. The appraiser will look at the lot size, neighborhood, and square footage. A lower appraisal may force the seller to lower the price of the home.
Understanding www.getbadcreditloan.com/payday-loans-il/newton/ the Extra Costs of Homeownership
Buying a home requires more than making a down payment and monthly mortgage payments. It’s critical to set aside money to cover the additional costs.
Set Aside Money for Closing Costs
When you’re at the end of the home buying process, you’ll encounter closing costs. Closing costs can be up to 5% of the amount of your loan.
Closing costs include homeowners insurance, home appraisal fees, and loan origination fees. You also might see attorney fees and escrow charges. And expect private mortgage insurance fees if you make a lower down payment.
Have a Maintenance Budget
What if the HVAC system shuts down or the basement floods? Dealing with repairs is a normal part of homeownership – and you need to be prepared.
Have money in savings earmarked for these issues. You may only spend a few hundred dollars per year on a new construction home. But for older homes, you may need to address faulty roofs, cracked foundations, or drafty windows.
Gather the Right Documents
You’ll want to learn about homeowners insurance options. Look at a number of different plans. And check to see what’s covered related to liability, theft, or weather-related issues.
Does the home have any homeowners association (HOA) fees or requirements? Make sure you’re up to speed on what’s expected of you when you move into the neighborhood.
Are You Going It Alone?
If you’re newly ily, plan for your financial future. You may have additional mouths to feed that cut into your monthly savings. Or if your partner loses their job, you won’t have as much cash.
Look into renting a room in your home to help with mortgage costs. If you’re venturing into solo living for the first time after college, you may enjoy having the company, too! Maybe you’re a single parent and we have a great guide for you to learn the ins and outs of what’s available to you.
Investing in Your Future
Buying a home as a recent college graduate is a big undertaking. Work on saving money, looking into loans for first-time homebuyers, or asking family members for help. The effort is worth it, though, since you’ll set yourself up to build equity and a better future.
Buying a Home After College Doesn’t Have to be Hard!
Whether you’re looking to buy a home here in Durham after graduating from Duke University or anywhere in the country finding the right local Real Estate Agent will be the best thing you do in the home buying process. They will help guide you through to a successful real estate transaction. It’s what Realtors do for buyers! They represent you as your buyer’s agent throughout the purchase even after you go under contract.