For The Perfect Price
The main thing for a new home buyer to remember is that during these difficult economic times, it is imperative that you find the perfect house for the perfect price. Remember that during the home buying process, the financial companies get their money, the title company gets money, inspectors get money, the seller hopefully gets a slight profit and you get property that’s value is based on everything under the sun including renters elsewhere in the neighborhood.
For those reasons you need to visit Kandis Residence Condo that you get the best deal possible to guarantee you have a home that is at least worth the value of the loan and you do so in a manner that benefits you financially.
One way to get a great deal is to look for motivated sellers. Stay away from those who own multiple houses or flip them for a living as these people are looking for a profit and will not budge much on the asking price.
You need to find people who have to sell quickly for any reason as they will often reduce the price to a point that they may only make a few thousand on the house whereas you could save 10k or more. This makes the home more interesting for lenders as they know the home may be valued higher than the asking price and if you default, they make a profit anyway.
What you do not want to do is take advantage of a seller as it can come back to haunt you later. Negotiate a fair and reasonable price that satisfies all involved and you will get the home you have longed for at a fantastic price.
You need to be aware of the prices of homes in the neighborhood as this is where you base your offer. You do not want to purchase a home for a price that is well above the average home in the area no matter how much nicer the house may be. The reason for this is that the appraisal will be based on those other homes and they could drag the value of yours down. The last thing you need to do is pay for a home and have a mortgage that is tens of thousands more than the value of the home based on those around you selling for less money.
As mentioned above, your offer should be fair for all parties. This means you should not walk in and make an offer that is ridiculously low in hoes you can come up. This isn’t a pawn shop and the seller will simply turn you down and not bother with you any longer. The rule of thumb is that sellers have a 10k buffer meaning you should try about 10k less than the asking price. They will counter and you can work from there. Now if you are looking at a 500k home then obviously there will be more room to play with in your offer than 10k.
By keeping these suggestions in mind you can be assured of buying your dream home for a great price. The key as mentioned is to realize everybody is going to make money but you in the deal so you need to do everything possible to reduce the cost of the home in your favor by ensuring the loan to value ratio tips the scales in favor of appraisal value.