In real estate terms this is, indeed, a buyer’s market–a time when the supply of South Central Vermont real estate for sale far exceeds the demand. And that is good news for those of you who are house hunting, for you may well find just the deal you’ve been looking for. You can certainly make an offer that is below the asking price and ask the seller to add upgrades, pay closing costs, or otherwise provide incentives for you to purchase that particular piece of South Central Vermont real estate. Even if you may be holding most of the cards, however, here are some tips to make your search easier and more successful.
- Get pre-approved for a loan
- Be knowledgeable about prices. Spend some time with a Realtor looking at comparables and recent sales in your target area so you’ll recognize a fair price.
- Check out property taxes in the area. High taxes can sometimes add hundreds of dollars to your monthly payment, something you need to know in advance.
THE IN-PERSON SEARCH:
- Ride with your Realtor. It’s better for you to concentrate on curb appeal and surroundings than on traffic.
- Dress comfortably and practically. Be prepared to remove your shoes, trek up and down stairs, tour the outside grounds, inspect corners, etc.
A simplified guide for buyers of South Central Vermont home.
To a South Central Vermont home loan shopper, there may seem to be an endless–and confusing–array of mortgage types. Of course you want to choose the option that is best suited to your current and future financial situation, but understanding the terminology, types, and monetary ramifications is not always easy. Mortgages generally fall into four categories (fixed rate, adjustable rate, step, and balloon) according to the interest rate and duration of the loan.
Adjustable rate (ARM)–the interest rate is tied to certain indexes plus a margin and can fluctuate up or down, thus affecting each payment,
Step–the interest rate and monthly payment remain the same for a specified period of time. After that the interest will change to the prevailing rate and will remain there for the duration of the loan.
Balloon–a loan payment that expands after a certain amount of time. Basically it functions similarly to a fixed rate mortgage in the earlier months/years with a delayed steep increase at the end,
The following information, courtesy of Mortgages.Interest.com, outlines the type of mortgage, the loan characteristics, and the situations most appropriate for each one. If, for instance, you plan to live in your South Central Vermont home more than 10 years and desire stability in payment amounts, then a fixed rate mortgage is for you. If, however, your finances are currently strained, but you know that in 5 to 10 years your monetary situation will improve or that you will most likely move within 10 years, then an ARM or balloon mortgage may be better for you. Being familiar with these options allows you to discuss them intelligently with your real estate agent and/or lender and then select the type which best fits your circumstances.
Because it offers year-round recreation, investing in South Central Vermont real estate can be quite profitable and safe. Such a transaction can also be challenging, especially for first-time investors, and requires prior planning, a time commitment, realistic goals, and careful consideration of the following factors.
1. Selecting a property. First decide on a location and the type of property you are interested in. You will want to consider proximity to good schools, public services, shopping centers, highways, recreation, etc.
Another decision will deal with the type of property you want to own–a single family residence, a multi-family unit, or a vacation rental home. Discuss with you realtor and tax advisor the pros and cons of each to decide which will be most advantageous for you.
2. Examining your finances. In addition to a monthly mortgage payment, investment property expenses can also include taxes, property management fees, utilities, insurance for fire and floods, repair and maintenance costs, condo fees, and periods of vacancy. Be prepared to have cash on hand for a 20% to 30% down payment (or investigate other options). A helpful tool to assist you in calculating costs and probable financial outcomes is www.GoodMortgage.com.
Also keep in mind that long term (5 to 10 years) ownership is usually best for the average investment. The shorter the length of time you hold the property, the greater the risk.
If you are moving to a South Central Vermont home, you can, with prior planning and these tips, make your move a smooth, less stressful experience. After you have gathered recommendations from friends and checked out moving companies on the web, you should narrow your choices to three or four. At this point you can avoid moving mistakes by using these guidelines to make informed, intelligent choices.
Steps For a Stress-free Move To a South Central Vermont Home
1. Insist on an in-home survey and estimate.
Movers have to actually see what needs to be moved and be aware of items requiring special attention, such as pianos or valued art pieces. In addition,, by meeting the mover’s representative in person, you can get a feel for the way customers are treated by the company. It is also important that you disclose at this time any details, such as elevator availability, street restrictions, etc., to avoid unpleasant surprises on moving day.
2. Beware of too low a price.
While price is certainly a major consideration in making your selection, you need to question a low-ball estimate, Are there hidden charges? Is the firm reliable? Does it value your business? Is it a licensed, insured mover? Check the web at www.protectyourmove.com for this information and for a record of customer complaints.
Are you tired of the same old promises you make to yourself every January 1st but forget by February? Not this year! Here’s a 2010 resolution that’s so beneficial you simply must keep it: buy South Central Vermont real estate! Now that the Home Buyer Credit Act has been extended and qualifying income levels have been raised, this is an ideal time to purchase a house. Generally advertised as a tax credit for first-time buyers, the new legislation actually benefits many current homeowners, also.
Changes: Originally slated to end in November 2009, the credit deadline has been extended to April 30, 2010. If you have a binding, signed contract and settle on a South Central Vermont home before July 30, 2010, you are also eligible.
First-time buyers are those who have not owned a home in the last three years. They are eligible for a credit of 10% of the purchase price (not to exceed $800,000), up to $8000. Ownership of a vacation home or rental property not used as a prime residence does not disqualify a buyer as a first-timer.
Repeat buyers, or those who have owned and lived in a principal residence for at least 5 consecutive years of the last 8, may qualify for a credit of up to $6500.
Income levels have been increased to $125,000 for individuals and $225,000 for couples.