home buying Archives - Curb Appeal

4 Ways to Reduce Home Buying Stress

40% of all homebuyers report that buying a home is one of the most stressful events in their lives. There are many sources of stress, but the more prepared you are, the better you’ll be able to handle them. Here are some tips for handling the most common stresses of buying a home:

Find the Right Real Estate Agent

The right real estate professional can make an enormous difference in your home buying experience. Let their expertise and knowledge of the market guide you and take care of some of the most stressful aspects of buying a home, such as finding the right listing. With the wealth of knowledge real estate agents possess, you’ll gain peace of mind working with one.

Keep Your Timing Flexible

Nothing is more stressful than a hard deadline. If you keep your buying and moving plans flexible, you’ll avoid a lot of unnecessary frustration and rushed decisions. Finding the perfect home can take a long time, and even after you find it, the buying process can take months or more. The more time you give yourself to complete the journey, the calmer and more comfortable you’ll be.

Get Pre-Approved for a Loan

A major source of stress in home buying is securing financing. The earlier you can get a preapproval letter from a mortgage lender, the earlier you can put that anxiety to rest. While it doesn’t cover the entire scope of expenses you’ll encounter when buying a home, making sure you have a mortgage lined up and ready will make your buying process much smoother.

Expect to Make Adjustments

Finally, accepting that the process might not go according to plan is an important step in taking the stress out of home buying. With so many steps and moving parts, careful planning will help you stay organized and on top of the current task. However, things are bound to change. Keep an open mind and remind yourself that you might have to adjust your plans in order to make everything work.

It’s no secret that home buying is a tremendous decision. While it can be stressful, remembering these tips can help make the process easier.

What Are Closing Costs for Buyers?

In a home sale, both the buyer and the seller have to pay what are called closing costs. These final expenses include an entire list of taxes, fees and other miscellaneous costs. While sellers usually pay some of the closing costs, buyers still need to prepare for their share of the bill. Here we’ll go over what the closing costs for buyers are in a home sale for a better understanding of what to expect.

Lender Fees

When you get a mortgage, lenders charge additional fees for various aspects of the process. These fees are usually due at closing along with the rest of the buyer closing costs. These fees vary from one lender to the next and it’s a good idea to inquire about them early in your mortgage conversations. Shopping around for different loan estimates can save you money on closing and help you get better terms on the mortgage itself. Lender fees often consist of things like application fees, document creation fees and prepaid interest.

3rd Party Fees

The 3rd party fees can be the most complicated part of buyer closing costs as they come from a long list of sources. 3rd party fees include things like appraisal fees, credit report fees, tax service fees and mortgage insurance. Like lender fees, these costs vary dramatically from one provider to the next. Individually these fees are inexpensive but they add up quickly, so it’s important to budget for them ahead of time and shop around for the best quote. As a buyer you have a choice in most of these services, but some fees are fixed based on mortgage terms and other agreements.

Homeowner Fees

The third category of closing costs for buyers are homeowner fees. Unlike the other fees described above, most homeowner fees are recurring. Some common examples of homeowner fees include property taxes, homeowner’s insurance, escrow account fees and any applicable homeowner association dues. The property taxes will vary by location and your income while homeowner’s insurance fees will be determined by your home’s value and the amount of your down payment. Escrow account fees pay for setting up a temporary holding account for taxes and insurance as part of the home buying transaction and homeowner’s association fees only apply in certain areas.

How Much Should You Plan to Pay?

Homebuyer closing costs usually amount to approximately 3% to 5% of the home’s total purchase price. When added up, this is no small amount of money, so it’s key to factor these costs into your budget and financial planning early in your home buying process. Luckily, for many of these costs there are less expensive options for buyers willing to do more work—any research and time spent looking for a better deal can save thousands on top of what you’re already paying for the home.

No matter what your financial situation, always clarify the costs with your lender and other parties so you avoid unpleasant surprises. The more prepared you are, the easier the entire process will be for everyone involved.

Here’s Why You Should Hire a Real Estate Agent When Buying a Condo

If you’re thinking of buying a new home, your budget is probably your main concern. With all of the costs associated with home buying, it might seem like hiring a real estate agent isn’t worth it–especially if you’re trying to buy a condo. However, there are some major benefits to hiring a real estate agent to assist you in your condo buying journey. Here are some of the key reasons to consider it:

Save Time

The home-buying process is incredibly time consuming. This is true no matter what type of home you’re in the market for. When searching for a condo, an agent can assist you by leading the search based on your specific criteria and preferences. They can help you schedule in-person tours, create virtual tours and take the lead in price negotiations and other time-consuming parts of the process.

Get Exclusive Access to Listings

While there are many search portal sites and individual condo communities available to browse online, you’ll have access to a much wider pool of listings when working with an agent. An agent can find listings on your local Multiple Listing Service (MLS), including listings that are “off-market” or “coming soon.” These listing statuses generally don’t appear on major search portals until they’ve already been viewed by many other interested parties. Hiring an agent will place you at the front of the line for buying the perfect condo.

Help With Paperwork & Process

Real estate agents have useful expertise beyond the listings themselves. Buying a home of any kind is a complicated process that requires following local and state regulations as well as navigating any particular rules the condo community has in place. There are contracts and other agreements that a real estate agent has knowledge and experience in dealing with, taking stress and confusion off your plate.

No matter what type of home you’re in the market for, working with a real estate agent has many benefits. If you’re interested in finding the perfect condo as your next home, consider hiring an agent to help you with the process.