Be Well-Prepared If You Plan to Buy & Sell at the Same Time

If you’re wondering what the different approaches are to seamlessly buy and sell a home at the same time, here’s how.

Buying a home? Click here to perform a full home search

Selling a home? Click here for a FREE Home Price Evaluation

A seller situation that I’ve become fairly familiar with is that of the person who wants to sell their current home and move into another all at once. They often come to me with certain concerns and assumptions swirling in their minds, so I’d like to take a few moments to clear some of that up.  

First, when you’re presented with a good offer on your home, don’t hesitate to act on it. Now, if you’re in the market for a specialty home, such as a lakehouse or one that possesses qualities not found in many other properties, you need to leap at the opportunity when a home like that hits the market to fend off competition.

It’s unwise to assume that you’ll be able to carry a second mortgage while your current home is on the market without first checking with a lender.

Aside from that, don’t operate under the assumption that you’ll be able to carry a second mortgage with ease while your current home is for sale. That’s simply not a wise assumption to make. My advice is to check with a lender to determine if you can juggle both simultaneously. Know that going under contract for a new home and selling your current home all in the same day is a pretty rare occurrence.

In a few words, timing is critical. It’s important to prepare yourself for one of two things: If you sell your current home before finding your next, you’ll have to seek temporary housing. On the other hand, if you make a purchase while your home remains on the market, you’ll be left with two mortgage payments to make short term.

If buying and selling simultaneously is a strategy that interests you, please give me a call. I can point you in the direction of some lenders that can assist you with questions of this nature, give you a market analysis on your home, and discuss what you can expect if you plan to enter the market soon.

The Home Buying Process, From A to Z

If you’re unsure about how the process of buying a home works, I have a general overview for you today.

Buying a home? Click here to perform a full home search

Selling a home? Click here for a FREE Home Price Evaluation

Today, I wanted to discuss the home buying process, from beginning to end.

The first part of buying a home is choosing the right agent. Preferably, you should work with a Realtor who is a member of the National Association of Realtors. A good Realtor or agent will recommend you to get a pre-qualification letter from a lender. In order to ensure that you’re pre-qualified, make sure that you have no errors on your credit report and that your debt-to-income ratio is good.

After you’ve been pre-qualified, create a list of needs and wants that you have for the home you want to buy. These might include school systems, location, the commute to work, the number of bedrooms, the size of the lot, the age of the home, and so on. There are pros and cons to each, and a great agent can help you sort through all of them.

Once this list is created, it’s time to search for a home. You can look online, but your agent should also have direct access to the MLS (multiple listing service) and be able to tell which homes are available and which ones are already under contract. Many listings you find on popular real estate websites aren’t current or accurate.

Your agent should help you figure out which homes best suit your wants and needs. They’re not there to cheerlead; they’re there to protect you and your interests.  When you find a home you like, your Realtor should find out everything they can about the home, either by consulting with the seller’s agent or by looking at property disclosures.

If it’s determined that the home will be a good purchase, your agent should begin making an offer and negotiating the best terms and price for you. Usually, people want to have the contract be contingent on a few things like financing, appraisals, inspections, and so forth. If you have to sell your current home in order to move into the new one, the sale will be contingent on that as well.

The first part of buying a home is choosing the right agent.

When that’s completed, make sure that you get a great home inspector. A normal home will have a general inspection, an HVAC inspection, a pest inspection, and an inspection for other features like a pool or the septic system.

While all of this is going on, you should be working with your lender to get them all of your paperwork in a timely manner. Also, be sure to protect your credit throughout this entire process. Don’t take on new debt, don’t miss any payments, and don’t quit your job.

After you close, it’s up to you to make sure that your home stays in good condition. Everybody moves eventually, so diligent home maintenance is crucial if you want to get the most money for your home when it comes time to sell.

I could go on at length about the details of this process, but this describes it in a nutshell.

If you’re looking to buy or sell a home or have any other questions, feel free to reach out to us. We would be happy to help you.

Buying vs. Renting—Which Is Best for You?

When it comes to buying versus renting, each option has its share of pros and cons, but buying is far more beneficial to you.

Buying a home? Click here to perform a full home search

Selling a home? Click here for a FREE Home Price Evaluation

Which is the better option—buying or renting? Each path has its own pros and cons. If you don’t know where you’re going to live or you’re moving within the next year, you’re better off renting. In our Columbia market, it’s tough to get your money back out of a house in just a year. Another reason to rent is if you think the market is depreciating. That said, there are a number of advantages to buying over renting.

My advice is to buy every time.

For one thing, you’re paying off a principal, so buying a home in an appreciating market acts like a forced savings account. In the greater Columbia area, we’re appreciating at a rate of about 4% per year, so think of buying as a 4% savings account versus throwing your money away on a rental. You can also write off your interest expense on your taxes when you buy a home. There is one drawback when it comes to buying, though, and that’s the maintenance costs. If the air conditioner or another appliance fails, it’s up to you to repair or replace it. You can get a home warranty to mitigate some of these issues, though. If you have any more questions about whether you should buy or rent in our market or you have any other real estate needs, don’t hesitate to reach out to me. I’d be glad to help you.

What to Look for in a Lake Murray Home

What should you look for when buying lakefront property? Here’s what we think.

Buying a home? Click here to perform a full home search

Selling a home? Click here for a FREE Home Price Evaluation

I’ve noticed that a lot of you are either looking to buy lake property or at least interested in it, so I wanted to give you a list of things to look for when buying lakefront property, specifically on Lake Murray.

The first thing to know is that most people looking on the lake want to be able to put their boats in. For that, you’ll need to have a dock, as well as a dock permit from SCE&G. There are a few minimum requirements that you’ll need to meet.

Another thing to consider is the lake depth at your dock. Can you put a boat ramp in? A floating dock? There are different options depending on your depth.

Location plays a huge factor.

Location also plays a big factor in property values out here. The properties closer to the dam (and to downtown) are typically a little bit pricier. The same thing goes for the properties with the best views. It’s all about location.

If you are curious about buying a home on Lake Murray or just have any questions about what the homes out here are like, don’t hesitate to give me a call or send me an email. I look forward to hearing from you soon.

Buying Versus Renting: A Quick Guide

Financially, buying is overall a better choice. But there are some disadvantages to consider as well.

Buying a home? Click here to perform a full home search

Selling a home? Click here for a FREE Home Price Evaluation

I get a lot of questions from first-time homebuyers: “We’re renting now, and we don’t know if we should buy—what are the advantages and disadvantages of buying versus renting?”

I’ll tell you: it depends on the market. In an appreciating market, financially it makes more sense to buy. You’re capturing the appreciation on a home every year when you buy. Here in Columbia, our homes tend to appreciate by about 4% every year. It’s like having a savings account, assuming there’s no decline in home values, of course.

It depends on the market.

Also consider the tax advantages of writing off the mortgage interest. Usually the payments are less when you buy versus when you rent.

However, there are disadvantages—if the market depreciates, you lose. In the last house I bought in 2007 at the peak of the market, if I had rented for a couple years, I could have purchased that home for 25% less. That was a big bubble that burst.

Renters are able to pack up and leave after the lease is up, so if you’re not sure how long you want to live in an area, you might want to rent. If you buy a house and then sell it a year later, your closing costs could eat up all of your appreciation.

Overall, financially, if you know you’re going to live in an area for awhile, buying is the better choice (bearing in mind maintenance costs).

If you have any other questions or would like to discuss this further, feel free to call, email, or direct message us on Facebook.

Things to Consider When Thinking of Buying a New Home

Here are some things to consider when deciding on whether to buy a new home or a resale property.

Buying a home? Click here to perform a full home search

Selling a home? Click here for a FREE Home Price Evaluation

There are several factors to consider when deciding whether or not to buy a new house or a resale house. Generally, new houses are those production houses in new developments.

How long are you going to be there? You don’t want to buy a new house, spend six to eight months building it, and then move two months after it’s completed. I’ve done that in my lifetime, and it wasn’t worth the hassle.

You also shouldn’t buy a new house in a new neighborhood if you plan on moving soon, as you don’t want to be competing with a builder and the new homes that are being finished around the time that you’re selling your house.

Look into the cost of a new house versus a resale. When you buy a new home, you’ll be getting a warranty, a brand new roof, and other items. In an older home, you’ll be looking at much higher utility costs than a newer home.

Look into the cost of owning a new home versus a resale.

Newer houses will be in HOA-type neighborhoods, which have wonderful amenities like community pools, but may also be on smaller lots. Be sure to double-check the layout of these neighborhoods, as you may not have the kind of privacy you were hoping for.

So, those are some things to think about when considering whether to buy a new home or a resale property. If you have any questions about this topic or you’re looking to buy or sell a home, give me a call. I’d be happy to help.