ou probably have already will rise where you are. Even
heard the usual home buying then, though, a home isn't
tips. Here are three that necessarily a good investment, if
aren't as common. rents are low relative to home
prices. In Tucson, Arizona, for
1. Home Buying Tip - Buying A example, a two-bedroom home might
House Isn't Always The Best Plan sell for $190,000, but you can
rent one for just $750 per month.
Of course real estate agents may If you spend $700 less each month
say that buying a home is always versus buying, and bank that
a good idea. It certainly is good money, you could be further ahead
for them, as well as for title financially three years from now.
companies and bankers. But it
isn't necessarily a good idea for Consider how long you'll be in
you. the home. This is important
because of transaction costs.
Believe it or not, there are Buying and later selling your
towns where the home values home can cost 10% of the home
haven't gone up much - if at all value. It will have to go up that
- in ten years or more. Of course much in value just to even break
in the last year (this is being even. If you move in the first
written in 2007) the prices in couple years and prices have gone
many areas have actually dropped nowhere, you'll end up thousands
in value. The point? Home values of dollars further behind.
do not always go up - at least
not in a given year or even 2. Home Buying Tip - A Real
several. So don't buy a home as a Estate Agent Is Not Your Friend
get-rich plan.
Even if your agent actually is
Maybe you are sure that prices your friend, she won't
necessarily look out for your because low offers are
best interest. In fact, she embarrassing for them to bring to
can't, if she is working for the a seller. It may even be
seller. Unless specifically is embarrassing for you to make the
working as a buyer's agent, she offer. However, I have a friend
is legally obligated to work for who embarrassed himself into a
the interest of the seller. The lakefront home for 15% less than
seller, after all, is the one it was worth. Would you like to
paying the commission. If you say immediately increase your net
something like "I might go $5,000 worth by $40,000 when buying a
higher," she is obligated to pass home?
on this information to the
seller. Here's how low offers work:
rarely. You'll let many nice
Even with a buyers agent, be homes get away, you'll spend a
careful, because people talk - lot of time making offers, and
even good agents. Don't say you'll annoy real estate agents.
things you don't want known by However, as long as you don't
all. Also keep in mind that have time constraints, or the
agents make money only when there fantasy that there is one
is a sale, and they make more on "perfect" house for you, making
larger sales. This might mean low offers can be a good way to
less than perfect objectivity save money. But here's one last
when helping you choose a home. home buying tip: If none of your
offers even get you a
3. Home Buying Tip - Low Offers counter-offer, you may really be
Sometime Work wasting your time and trying to
go too low.
The real estate agents out there
won't appreciate this tip,
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About the Author:
Copyright Steve Gillman. To see a photo of the house we bought for $17,500, get a free ebook on how to buy Cheap Homes, and more, visit: http://www.HousesUnderFiftyThousand.com
