How to choose the right home?

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The first step in finding the right home is to know what area you would like to live in. You will want to consider commute times, whether you prefer city, suburb, or rural living, and what type of community do you want to be a part of? Armed with some answers to those questions, you will want to meet wth at least one lender to explore your financing options. There are many types of loan products out there and some may be limited to specific areas. You may also qualify for some grant money that will assist you with your down-payment and/or closing costs, but those funds may be limited to specific communities? Keep in mind that some loan products and rates will allow you to buy more home for the same monthly payment as other products do. At the same time, some options may reduce the amount of cash you need to bring into the deal up front to almost nothing. With the energy savings present in many new homes, you may want to explore your options with building a new home? In some cases, you can buy an almost completed Builder's Spec home using the same loan products you would for an existing home, but building from the ground up will generally require a construction loan.

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Other factors that influence a home buying decision may include the choice between a one level Ranch style home, a two story, a multi-level, and various other types of homes. Ranch homes are typically designed for occupants to live primarily on one level without having to climb stairs, but many have basements that are used for occasional living areas. They also generally have the largest basements per square foot of living area. Whereas two story homes require the daily climbing of stairs and many have basements that are less than half that of a Ranch style home with the same amount of above grade living area. Condominiums are available in many varieties and will take much of the maintenance typically associated with home ownership away from you, but they will take some of the freedom associated with home ownership away from you as well.

Once you’ve narrowed down some of the possibilities mentioned above, you will want to involve a Realtor in your search. You should find a Realtor that you trust, and one who serves all of the communities you are considering. Most Realtors who are familiar with your entire search area can help you to narrow down your search from there. They can also point out potential concerns that most people may not be aware of. For example in recent years, mandatory flood insurance has become a big concern that can really affect your monthly payment. If you are paying cash for the home, it may have very little effect on you, but if you are financing your home it may wind up costing you $250/Mo in addition to your normal house payment? A Realtor can also get a feel for what you like and dislike about homes you’ve seen and recommend other homes or areas that you may find more desirable. In most cases, you will look at many homes during your decision process, the more experienced help you have in narrowing prospective homes down, the more comfortable you will feel about your decision to purchase, and the process that got you there.

Keep in mind that while this is not a complete list of everything you will run across, these are some of the most important and often overlooked concerns that should be addressed by almost every potential buyer as they first begin to consider the purchase of a home. If you take these considerations to mind while you are in the first stages of deciding to buy a home, you will be much further ahead throughout the entire process. 

Visit Great Lakes Bay Region Home Resources for more resources.