Monday, November 12, 2012

What to Look Out for When Purchasing a Home

If you are thinking about buying a house, be it to live in or rent as a long-term investment, here are some things you should look out for to avoid potential financial losses in the future.
Renting instead of buying. Many homeowners opt to move into rented premises because they are unable to find a property to buy that meets their requirements. This is one of the biggest mistakes one can make because paying rent over long periods of time absorbs funds which can go towards buying a property.

Buying a house for its decor. Most would be sellers use home staging and immaculate decor to amplify the perceived value of a house, so do not get carried away by fancy interiors and furniture which may prevent you from discovering some of the property's faults such as bad plumbing and wiring. Focus on the structure and  functionality to determine the real value. And don't forget to have a home inspection survey conducted by a professional.

Not considering resale. When buying a house, don't forget that at some point in the future you may want to sell the property. Therefore, have its projected price appreciation and demand evaluated by a real estate agent to ascertain its future market prospects.

Not reaching your neighborhood. Find out about existing amenities and facilities such as schools, hospitals, parks and restaurants. Gauge the safety of the neighborhood by visiting it at different times of the day and night.

Buying an overly luxurious house. Every buyer dreams of a lavish home with fancy architectural design and features such as fountains and swimming pools. However, it's wiser to buy a home that fits your needs instead of one that fits your dreams because such features require a lot of maintenance.

Leaving a house vacant. If you are buying a property for investment purposes, do not let it remain vacant for more than a few months. Vacant properties are always in danger of illegal possession, theft and damage.