The Art Of Choosing A Home
If you are thinking about buying a home or making a move, in order to protect what is likely your biggest asset, as yourself some key questions before making an offer:
- "Does this house and area have good resale value?"
You may find an area and a home that you absolutely love. However, if the home has been on the market awhile, it is a good idea to ask yourself why. Is it the home, the area, the price, or demand? Consider what you will or will not have control over when it is time to sell. You do have control over the home, making improvements, addressing deferred maintenance, and curb appeal. However, you don't have control over the area. You will have control over the price you ask. You do not have control over the supply and demand in the market. Therefore, planning for your eventual sale when you buy the property makes good sense.
- "Is the location up and coming, stable, or are there potential issues?"
It may seem like a good area now, but think about what may be coming in five, ten or more years. How will access to shopping and transportation change? How is the balance of rentals and ownership likely to change? If there is vacant land nearby, how is it zoned? You may need to do a little reconnaissance to learn about your area's plans for development if you in an area that isn't developed yet or is in an area of rebirth.
- "How has the area appreciated over the last five to ten years?"
If you are working with me, I would be happy to create an appreciation analysis for the neighborhoods you are considering. Higher appreciation rates could be an indicator of higher demand which could help you both now and in the future. It is wise to always look at the potential future of your investment and look at the potential return, not just present costs.
- "What is the condition of the property and what will be my costs to fix?"
I always recommend having an inspection on the property. You may even consider bringing in contractors or tradespeople to provide estimates for major repairs or improvements. Remember, costs to repair will eat into your initial cost outlay, affecting your return on investment. All of this should be weighed as you are considering your property.
- "How will this property suite my lifestyle today...and tomorrow?"
As you are considering properties, it is a good idea to consider your future needs. Are there enough bedrooms for your children and/or parents? If you are retiring in a few years and taking on new hobbies, will the property support that? It can be expensive to move, so spend your funds wisely.
When you ask yourself these five questions, you will be better prepared to find the best property - and make a sound investment for your future. Reach out to me at 248.703.6413 and/or send an email to CorcoranRealEstate@Outlook.com
