Developing a home buying strategy

Sold Home For Sale Sign in Front of New House
Saving up for the down payment may not be as intimidating as you think.

If you want to save thousands of dollars on your next home purchase. You will need to developing an effective home buying strategy.  An effective home strategy should start about 12 months prior to purchase as a minimal time frame. The more time you can plan the home purchase the chances are your outcome will better for a great deal on a wonderful home.

In order develop a home buying strategy you need to ask yourself a few questions. Such as, what are my needs and my families needs now and what are they going to be in the next few years.  Are you married or single.  Do you want a 1 or 2 bedroom condo or coop.  Do you want children? Do you have children? Are they going to need more of a spacious place in the future? Or perhaps, you have too much space and you need to downsize.  If you do have children are you looking for a particular school district?  Are you looking to pay less property taxes? Do you want to down size or find that move up house? How far away or close by do you want to be to your friends and family. What kind of neighborhood, or building would you like and what amenities are there for you. Once you have a clear idea of where you want to live you need to focus in on developing your financial profile.  How much money do you want to spend or not to spend or maybe you are looking at a home as an investment property?

Developing Your Financial Profile

Your Credit Score: You are entitled to 1 free credit report each year from each of the Credit Tracking Agencies.  You should contact anyone of these credit reporting companies below to get your credit score report. As you may or may not be aware of, mortgage lenders use your credit score to figure out what interest rate to give you when you apply for a mortgage.  Please note that pulling your credit report many times over a short period of time will lower your score. However you should take advantage of the 1 free report per year.  You are entitled to see your report without penalty. After you receive your credit report you will need to check the report for mistakes.  If you have mistakes get them off your report.  I have attached an important PDF. the explains the basics about credit scores.  Please click this link credit-score-basics Pdf.  I have also attached links to the top credit reporting agencies.  Please click on these links to learn more.

Lower your debt to income ratio: Your Debt to Income Ratio is the amount of your monthly income that goes to pay off debt. The best formula is in this Wikipedia entry on Debt to Income Ratio.

Build up that down payment: Saving up for the down payment may not be as intimidating as you think.  If you don’t have as much money saved as you would like you can always ask  your mortgage professional about FHA loans to see if you qualify.  With FHA loans all you need is 3% down.

Choosing a community: Does the community you want to move to have activities that you and your family want to become involved with. An example would be in New Rochelle there are programs for senior Citizens that are run through The Office for the Aging. There are also programs for school aged children that are run through New Rochelle’s Department of Parks and Recreations. It is important that you have all these questions answered before you proceed.   Many home buyers often ask me questions about neighborhood schools and what I thought were the best school districts.  These are great questions, I will tell buyers to look at the New York State School district report cards website.  This information will help buyers with the questions regarding schools.  Please click here New York State School District Report Cards. Purchasing a home in Westchester County can be stressful, however with the right preparation and mindset can can purchase the perfect home for you and or your family.

If you have any questions about purchasing a home in Westchester county please give me a call at 914-755-9816 send me an email at thomas.roberts@raveis.com .  Please leave your on topic comments below.  And if you like what you see please share.

 

 

 

Published by

Thomas Roberts -Realtor

As a licensed real estate sales professional and a Certified Buyer Representative CBR my top priority is to deliver unparalleled customer service delivering the highest quality care for all of his clients.

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