5 factors to weigh before writing purchase offer – How to get a good deal on a house – Vancouver Real Estate 2012
Before you even make the decision to buy in an area, take a look at the local economy. Are jobs being created or lost? Are public services being cut to the extent that will affect your lifestyle?
Find out if there if there is an oversupply of homes for sale, and a dearth of buyers. If so, you’re in a buyer’s market. This gives you more negotiating power. If the inventory of homes for sale is low and buyer demand high, you’re in a seller’s market.
Even though the national housing market is still a buyer’s market, there are pockets of strength, which is usually associated with robust job creation. More employment creates more need for housing.
Armed with this information, and anything else you can find out about future plans for development or employers moving into or out of the area, you can focus in on looking at homes for sale in neighborhoods where you’d like to live.
The Internet is a great source of information. You can preview homes online, which is a real time-saver. However, it doesn’t replace the value of seeing a home that interests you in person.
HOUSE HUNTING TIP: The best way to keep from overpaying is to look at a lot of listings that have features you’d like to have in a home. Although time consuming, it’s a good way to become familiar with local pricing, and to see what’s not shown to you on the Internet, like the lack of a backyard.
Create a file of fliers you pick up at the listings and make notes about your impressions. Ask your real estate agent to let you know the selling prices of listings you liked, and the time it took to sell.
When you’re finally faced with making an offer, you’ll have a personal source of information you can turn to, which will include notes on what you liked and didn’t like about the listings you’ve seen, and the list and sale prices.
Ask your real estate agent to give you a list of comparable sales for a listing you’re trying to buy, including all photos. If a price looks too good to be true, make sure to ask for any disclosures on the property to see if there is repair work to be done.
THE CLOSING: A low-priced listing that needs a lot of work is not a good deal if the price you pay plus the fix-up cost exceeds the price of similar homes already in good condition.
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Source, Image: Inman, Design.Shuffle
