If you’re interested in purchasing a condo, you’ll have to paymaintenance costs monthly regardless of whether anything needs fixing because you’ll be part of a homeowner’s association, which collects a couple of hundred dollars a month from the owners of each unit in the building in the form of condominiumfees. Before signing the homebuyer’s agreement, it would be wise on your part to ferret out any and all hidden fees and incorporate them into your budget. NOT KNOWING YOUR CREDIT SCORE If you apply for a mortgage loan without checking your credit score, you could end up paying a lot more than you expected. It is best to perform a credit check beforehand. Take special note of the information regarding the importance of good credit in applying for a home loan and take all necessary steps to repair credit problems prior to home shopping. DISREGARDING LOCAL HOUSING MARKET TRENDS Like other financial markets, the housing market fluctuates over time. Sometimes it favors buyers, and sometimes it favors sellers. This can change dramatically over a three- to six-month period. A number of factors affect housingmarketing trends, including the ratio between supply and demand, interest rates, and the overall condition of the economy. It’s important that you consider how the housing market changes in your ideal location, as home prices vary from one location to another. Stay alert to comparable sales (comps) in the area. If they sell for below listing price, it is a buyers’ market. If they sell above listing price, it is a seller’s market.This information can be important whenmaking offers, allowing you to calibrate your proposal to better suit the market and — if you’re lucky — your budget. NOT BEING REPRESENTED BY A BUYER’S AGENT You can browse without an agent, but once you are considering seriously looking at a house, engage a real estate agent. Do not rely on the seller’s agent to represent you. In fact, it would be fair to say you should never
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