Buy a House Fast

With 4 days or so left to claim the Home Buyer’s Tax Credit, there is still time to cash in. Are you frustrated because you haven’t found your dream house and are feeling pressured to do so in this short time left? Here is a reality check for you: your first home is unlikely to be either your dream home or the last home you will own. According to the numbers provided by the National Association of Realtors (NAR), you will probably be on the move again in six or seven years. With this in mind, you should aim for a home that you like that will serve you and your family’s needs now and for a few years – not forever. Moreover, you should buy with an eye to move to your next home. Simply stated, you should have an exit strategy.

No one on Earth knows the future, neither yours nor that of the future housing market. With any home you like, you should ask the following questions in anticipation of reselling:

Is the price in line with the median price for the area? If not, your home may be ignored by the very group of people who would be good candidates for it.

How’s the location? People tend to look for good schools, closeness to transportation, and good local governments. If the home you are looking at doesn’t have these things, a large percentage of buyers might be turned off. Likewise, if it is across from a landfill, a single family home between two skyscrapers, or on an eroding hill, selling it may be challenging. You’re thinking of buying the place because you love it; but will lightning strike twice when you need to sell?

Does the home have unusual features that might make it hard to sell? Cut up space, a tiny kitchen, even lack of parking can limit the appeal. If the rooms are painted black, you can change that, but you can’t economically alter the layout of the home!

How have homes in the neighborhood traditionally sold? If you are in a neighborhood where homes have usually sold much slower than comparable properties in nearby neighborhoods, you might have a problem In the future unless something changes drastically. If you are buying a condo, check the turnover and the number of units available now.

If you ask yourself these questions, and come away feeling reasonably confident that the house could be easily resold, the home is a good buy. With your exit strategy in mind, you need to ask yourself if you like the home enough to live in it for a few years.

If your answer is “yes,” run, don’t walk to Express Realty Services. We specialize in getting the job done right and quickly. As the #1 Keller Williams franchise, we can help you have a signed contract by April 30 so act now. Just call us at 888-306-9450 or visit our website to chat with a representative about how to get started.

The sky is falling, the sky is falling!

So said Chicken Little, as he concluded an acorn fell on his head.  He convinced his friends he was right, and the group ran off to tell the king of the impending disaster.  They were tricked by a sly fox who directed them to his den, where he ate them all for lunch.

As the final days of the Home Buyer’s Tax Credit tick away, thousands of potential home owners are letting $6500 or $8000 slip away from them because they fear the sky is falling –or potentially could. Buying a home is a big commitment that requires careful planning, but if you are holding off on homeownership, are your reasons legitimate or are you acting a little like Chicken Little?  Are you so convinced that the worst case scenario will befall you that you are hesitant to make the move to get a house under contract by April 30?  Is something else going on?

How stable is your job? You may have honestly told the lender about your current finances but do you secretly fear a layoff or a change in income?

Do you fear too much debt? If you have been approved for more than you feel comfortable with, there is no requirement that you buy more house than you feel comfortable paying for.

If you are buying a home with a spouse or partner, do you want to be tied into a real estate deal with them? Buying real estate implies a level of commitment you might not want to make.

Are you afraid you will make a bad investment, given the last year or so of falling home prices?

If you take a look at things and determine that you aren’t ready to move, fine – there will still be homes available after April 30.  However, you can take some steps to assure yourself that you are making a good decision to buy:

Consider the whole picture.  Aside from credit, housing prices are low and so are interest rates.

Stay well below what the bank says you can afford.

Put as much down as you can, but not so much that you use all your reserves. Getting an FHA loan rather than a conventional one can help you preserve some cash for an emergency fund.

If you are concerned about your relationship, work with an attorney to set up the deal in a way that will preserve the interests of both of you.

Anticipate an exit strategy if you have to sell.

Chicken Little would have met a different fate had he assessed his circumstances accurately.  No one can predict the future, but you can ensure yours as a happy homeowner if you do.

Express Realty Services specializes in finding affordable homes for residents of DC, eastern Maryland, and northern Virginia.  Act now to take advantage of the Home Buyers Tax credit.  Just call us at 888-306-9450 or visit our website to chat with a representative about how to get started.