If you're buying a home soon or just thinking about it, call me. Not only can Oak Tree Insurance provide you with a great homeowners insurance policy, we also have relationships with some of the premier mortgage loan officers and realtors in the Twin Cities South Metro area and a few other areas.
It's important that you make sure you follow some sound advice when purchasing a home. Whether it's your first home or your 10th home, here are a few tips when you buy a home.
1. If you're financing, try to avoid any major purchases for 3-6 months prior to buying. Any credit inquiries in the months leading up to a your purchase could reduce your credit rating which in turn could raise your interest rate. When you do start looking, get pre-approved first. This way you won't be wasting your time and you can get serious.
2. Only buy what you can afford. This might be obvious. Think about how much you're spending now on rent or your current mortgage. If you don't seem to have any extra money at the end of the month, don't spend more just because you're pre-approved for it. Just because you're preapproved for a large payment, you need to know how much you can really afford.
3. Once you've found the house, get a home inspection. See if you can go with the home inspector, ask questions, and don't rush it. You plan on living in the home, make sure you know what you're buying. If you see something that looks suspicious, ask about it. A crack in a basement floor could mean something as serious as a water drainage issue. But don't worry about paint colors, you can always paint. Some things are a simple fix, some things are not. Know what you're buying.
4. If you're buying an older home, make sure the systems are in good shape. Make sure the electrical system and plumbing system is up to date. Not only is this safer for the homeowner, it's also better for insurance rates. Check the roof too. New shingles means the insurance rates are better, old shingles could mean you'll be replacing them at some point in the near future.
5. But, if the price is right and you have the skills or the budget, you can overlook some of these repair items. Just make sure you don't wait too long before the repairs are done.