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Monday, February 7, 2011

4 ways to be aware of secondary costs when becoming a homeowner

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4 ways to be aware of secondary costs when becoming a homeowner

When buying a house you should always be aware of all the secondary costs. In order to know more about other primary costs, I am sure you will love reading http://micromyaw.blogspot.com /2011/01/how-to-be-homeowner.html">How to Become a Homeowner for Less.

The cost of a house is never just the asking price. I have divided these secondary costs in three parts: maintenance,bargaining power, being money wise and repairs.
Maintenance
If you plan on buying a town house , you will want to know what the monthly maintenance fees are. These fees will always vary based on the location and the services offered to the residents.

Even if you are not buying a house, secondary costs may still be a factor. Some houses fall under the authority of a resident's association that may require you to keep up a certain appearance (which could mean having security guards, water services).
Bargaining Power
Buying a house is nothing like buying  retail; everything is negotiable. Make an offer on the low side, but always make it a reasonable offer. An unreasonable offer will be insulting and leave you nowhere.You will what kind of offer to make once you know your comparable and measure them against the asking price (being sure to discount any necessary deficiencies in the property).
Being Money Wise
While your comforts are nice, you should not let them be a deciding factor on the home you want to buy. In fact, it is best to think of those kinds of amenities as window dressing at the retail store. while they may make the house look more appealing. It is not clear that they really  add value because they are always a matter of taste.

If you find yourself looking at a home with an amenity that does not please you, tell the seller. He may be able to find someone who will pay more for granite counter tops, but then again he may not.

The key is not to assume that every nice thing about the house is a selling point. Tastes vary and you should not pay extra for a feature you will end up replacing.


Repairs
You should always ask when the previous owner last had the roof replaced and when the plumbing was installed.

These are not items that require disclosures unless there is something wrong with them, but they can be quite costly down the road, In which case you will want to negotiate a lower price for a house that has an older roof, even if it is in a perfect condition because you will have to replace that roof sooner than later.

Remember do not buy a house without an inspection by an experienced professional. An inspection will tell you if the seller is hiding something that could cost you down the road, such as termites or cracked foundation.

Based on the inspection, ask for a discount from the sale price, or have the owner pay for the repairs.

Note: There is nothing sweet like coming home especially when it is all yours. The key is to make sure that it remains that way as many people have seen their lives change as they have been unable to repay their mortgage or been swindled by unscrupulous agents or homeowners.



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