What to Ask When Looking to Buy a Home

5 Questions to Ask Before Making an Offer on a Home

You found, essentially, the perfect home.  How do you know if you are truly ready to make an offer?  Check out these 5 questions to ask yourself before you place a bid on the home of your dreams.

1. Does the home fit into my budget?  Just because the house is at a good price, and withing the amount you make, does not mean it is within your budget.  Many people purchase a home they can "afford" but end up not being able to afford anything else. Follow this two-step process to ensure the home is truly something you can afford:
   1. Preapproval. Going through a preapproval process with a lender can help to determine a home loan amount you can handle, as well as provide what your potential monthly payments will be.
   2. Practice Your Payment. Once you have an idea of what the montly payments will potentially be, manage that payment for 3 months.  If it is more than what you are currently paying, place the remaining balance in a separate account.  If you can manage this with no issues, you are ready to make an offer.
2. Am I paying more than what it's worth?  Nearly 11 million homeowners are upside down in their mortgage, meaning they owe more than what their home is worth.  This is when hiring an agent you can rely on and trust is a good opportunity.  They can help you compare properties, to help determine a fair market value. Once this is determined, don't go above that value.  
3. How is the Location, Location, Location?  There are many things you can negotiate on when it comes to a home, but where it is located at is usually non-negotiable. To determine if the home is in a good location, look at the following items:
   1. How close is the home to work/school/daycare/shopping/family?
   2. Does the neighborhood feel like a good fit for my family?
   3. What is the neighborhood like at different times of the day?
   4. How much of a change is it from where I am now?  Am I ready for that kind of change?
   5. If my choice was simply based on location, would I still consider this home?
4. If you second guess any of your answers, you may want to rethink your offer.
5. Do you know how much work is needed?  Carefully assess the home's current condition, and make an estimate on how much you may have to put into the home to make it move in ready.  Do not hesitate to get a professional home inspector to assess the home.  They can itemize the needs and recommend any major repairs that need to be made. This can be helpful when negotiating the price of the home.
6. What does your gut tell you?  Are you already picturing where everything will go?  Are you seeing future events taking place in the home?  Do not underestimate what your subconscious is telling you, it channels information to create certain emotions.  If you are feeling pure excitement, then you have found your forever home.  If there are any kinds of doubts, you may want to reconsider.

Information found at: https://www.veteransunited.com/futurehomeowners/dont-make-an-offer-without-asking-these-5-questions/