6 Things for Home Buyers to Remember

Hi everyone,

Is any of you in searching of a new property and need a tips for it? Did you know finding real estate properties is easy. But finding the right one for you, now, that should take a little bit more time, especially if you’re particular about what you want. 

6 Things for Home Buyers to Remember,
source : google


If this is your first time to buy property, though, here are a few things to help you:


1. Know your budget


Calculate the costs and see if your budget is enough to cover everything. This should include your down payment along with other upfront costs. Expect a slew of transactional expenses. Then, you need to factor in your utility bills and if you’ve got a car, your monthly car payments and premiums. Essentially, your expenses shouldn’t exceed 25 percent of your gross income, says the CBS News. Gross income is what you have left when your taxes as well as Employees Provident Fund OR EPK are taken out of your earnings.


2. Get your finances on track


If you’ve got a mountain of debt, then you aren’t in the best position, financially, to afford a home. The best thing you can do is settle your debts first and when you’ve got a clear slate, start saving up for a home. You also need to build an emergency fund first. That’s your safety net in case you lose your job, get into an accident or have an emergency happen, one that requires funds to manage. Just like when me and my husband suddenly lose a job i did a job hunting again, and thank god we manage to back on track. :)

If you’ve got emergency funds in place, you can easily take care of these expenses without having to dip into your savings or borrow from your house fund. And if you happen to lose your job or find yourself involved in an accident while you’re paying off a mortgage, your emergency fund will be there to cover the cost while you recover and get back on your feet.


3. Save for the maximum down payment


A lot of home buyers make it their goal to save as much as 20 percent of the down payment. Once they have that in the bag, they start shopping around for a home. But consider going for the maximum allowable portion instead. By putting in a big down payment, you effectively reduce the amount of money you’ll need to shell out for the monthly mortgage on your new home. That’s crucial. Nobody wants to tie down a large portion of their income to a mortgage for years. 

Also, you can also opt for the shortest mortgage possible. The point is to spend as little as possible on the interest. So the sooner you finish paying for your mortgage, the less you spend on the loan interest.


4. Use property listing sites


These sites make it easy and convenient to search for properties that match the size, location and housing type you want. Even better, you get to see which ones fall in your ballpark or not. With online portals like PropertyGuru Malaysia, finding auction property for sale is simple and hassle-free. And while the photos might be nice, learn to look beyond the visual appeal to the bones of the house. Excellent structural bones indicate a great home, regardless of the dreary paint on the walls or dirty floors.


5. Hire a real estate lawyer


You’ll have a lot of paperwork to file and you need a good lawyer to help you through all that, says the Global Property Guide. From drafting a Letter of Offer and Acceptance to executing the Sale and Purchase agreement or having any other paperwork drawn up, the assistance and guidance of a lawyer is sure to come in handy. Plus, if you have a tough time understanding what a certain condition or term really means, your lawyer is there to provide you with the answers you need. 

Another advantage to hiring legal representation is that you have someone who knows how the industry works and so can keep out an eye out for terms or conditions that might not be fair or beneficial to you. You can ask to renegotiate with the seller on these terms, with your lawyer negotiating on your behalf.


6. Inspect the home with a pro


You might not have seen signs of termite infestation when you went for a look-see the first time but if you bring along expert, you’re sure to catch that, along with other problems in the property. Maybe you missed that leaky roof, the poorly patched up walls or the faulty plumbing system. These could be a deal breaker for you. However, before you pull the plug on that transaction and walk away to find a better property, reach out to the seller. Try to negotiate for better terms. 

For instance, you could stipulate in the contract that the seller should cover the costs of the repairs as well as replacements. Or if you’ll cover those costs, then you could negotiate for a lower and better price on the home. Just make sure you confirm with the home inspector between damage that can be repaired and those that could cause lifelong problems for you. If it’s the latter, then find yourself another property instead of going for that one.


So, I hope all the tips can help you out when trying to buy a property for yourself or love one. Till then, xoxo.


I Need a New Home Too!



2 comments.. read them below or add one

anajingga anajingga 13 May 2016 at 13:31
tips dan panduan yang sangat baik ami, tq so much :)
Montana Montana 13 May 2016 at 23:58
Nice info
Thank you madam