top considerations when buying a home
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Top Considerations When Buying a Home. By: Joe Holmes. Available Topics (just click). Your Budget Selecting Your Home Purchase Price Future Resale The Decision. Exit Presentation. Your Budget. Credit Good credit Not so good credit Improving your credit. Your Budget. Affordability - PowerPoint PPT PresentationTRANSCRIPT
Top Considerations Top Considerations When Buying a HomeWhen Buying a Home
By: Joe Holmes
Available Topics (just click)Available Topics (just click)
Your Budget
Selecting Your Home
Purchase Price
Future Resale
The Decision
Exit Presentation
Your BudgetYour Budget
Credit
◦Good credit
◦Not so good credit
◦Improving your credit
Your BudgetYour Budget
Affordability
◦Income
◦Expenses
◦Comfort zone
Available Topics
Your BudgetYour Budget
Down payment
◦Expected
◦Sources
◦Saving up
Selecting Your HomeSelecting Your Home
Location
◦Desirable factors
◦Undesirable factors
◦Commuting
Selecting Your HomeSelecting Your Home
Needs
◦Defined
◦Examples
Selecting Your HomeSelecting Your Home
Wishes
◦Defined
◦Examples
Available Topics
Purchase PricePurchase Price
Comparables
◦Recent sells
◦Most like
◦Square footage based
Purchase PricePurchase Price
Location
◦Positive factors
◦Negative factors
Purchase PricePurchase Price
Investment return
◦Equity over time
◦Value factors
Available Topics
Future ResaleFuture Resale
Property condition
◦Improvements made
◦Improvements
needed
◦Prepare for sale
Future ResaleFuture Resale
How long will you stay?
◦Long term
◦Short term
◦Unknown period
Future ResaleFuture Resale
Market conditions
◦Buyer’s market
◦Seller’s market
◦Preparation
Available Topics
The DecisionThe Decision
Affordability
◦Comfort
◦House rich…
The DecisionThe Decision
Suitability
◦Needs met
◦Some wishes met
The DecisionThe Decision
Commitment
◦Risks understood
◦Feels right
Top considerations when Top considerations when buying a homebuying a home
Your Budget◦ Credit◦ Affordability
Selecting Your Home◦ Location◦ Needs◦ Wishes
Purchase Price◦ Comparables◦ Location◦ Investment return
Future Resale◦ Property condition◦ How long will you
stay?◦ Market conditions
The Decision◦ Affordability◦ Suitability◦ Commitment
Case Study #1Case Study #1
A young couple in their early to mid-twenties has decided to buy a home. They have started their new careers out of college and are making a decent income.
QUESTION- What are some key considerations for buying a home for their life circumstances?
THOUGHTS- Their life situation could change significantly over the next 3-5 years, such as income level, job location, familial status and interests so they should consider a home that is transitional and prepares for these possibilities- affordable, re-saleable, and in a central location
Case Study #2Case Study #2
A couple in their mid to late thirties has decided to buy a new home. They are established in their careers, make a good living and their kids are in the early years of school.
QUESTION- What are some key considerations for buying a home for their life circumstances?
THOUGHTS- Their life situation is fairly stable and could reasonably be expected to stay so. They should buy a home that meets their needs, is affordable for their budget and allows them to save for retirement and educational needs. They should consider buying a home that they will be satisfied with for about the next 10 to 20 years.
Case Study #3Case Study #3
A couple in their early to mid-fifties has decided to buy a new home. They are expecting to retire in the next ten or so years and would like a smaller home since they are empty nesters and would like to spend less time on upkeep.
QUESTION- What are some key considerations for buying a home for their life circumstances?
THOUGHTS- If they are determined to buy a home so near retirement, then they should determine whether the new home would save them money over their current home in mortgage and upkeep. Because they are near retirement they need to evaluate tax and retirement benefit implications of any actions.
SourcesSources
How to Find the Right Home by Elizabeth Weintraub, <http://homebuying.about.com/od/buyingahome/a/buyerinfo.htm>, 1 August 2010.
7 Tips for First Time Homebuyers by Bankrate.com, http://realestate.msn.com/article.aspx?cp-documentid=13107818, 1 August 2010.
Buying a Home by HUD.gov, http://portal.hud.gov/portal/page/portal/HUD/topics/buying_a_home, 1 August 2010.
Thank you for Thank you for your time!your time!
The EndThe End
Available Topics