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Today we’re going over home buying tips so you can snag a great deal on your dream house!
What You Need to Know About Buying a House
This summer is wrapping up, but things are about to get busier for us.
My mom was recently offered a job in the area and so she’s asked me to help her with buying a house.
The problem is that here in the Raleigh/Triangle area, it’s very much a seller’s market.
Since we bought our house three years ago, prices have gone up on homes. The median price of homes currently listed in Raleigh is $330,000.
Which means we need to be savvy house hunters.
I’m excited about this, but it’s going to be a challenge for sure.
And if you’re looking to buy a house, you might be facing the same challenges.
He has decades of experience with the real estate agent side as well as home renovations.
In this episode we’ll discuss:
- differences between buying new construction vs resale
- spotting great and still affordable neighborhoods
- finding a fixer-upper (instead of being stuck with a money pit)
Hope you enjoy!
Resources on Buying a House
If you’re looking to buy, here are some resources to help you find an affordable place you love!
- Best Budget and Money Apps: Personal Capital, Tiller, Mint
- Grow Your Stash Faster: High Yield Savings with CiT Bank
- Automatic Saving: Qapital
- Jumpstart Your Marriage and Your Money
- My friend was about to buy a million-dollar house with no research
- What You Need to Know About Mortgages
- Buying a Home: From Contemplation to Closing
Thank You to Our Sponsor Coastal!
Support for this podcast comes from Coastal Credit Union! If you’re living in the Raleigh Durham area and looking to bank better, come check out Coastal today.
If you need an agent, Daymark Realty has a fantastic team ready to help find the perfect house for you in the Triangle area!
Buy New Construction or an Older Home?
I don’t know how things are in your area, but here in Raleigh, if there is a strip of land, they will build on it.
We have a new developing coming up down our street including some new homes across the street!
We’ve noticed that our home’s value is rising along with plenty of properties around us.
The first time we went house hunting, my husband and I went with new construction.
The second time around, we went with an older home.
And there are noticeable differences with both choices so if you’re hunting you may be wondering what’s the best option for you.
Louis shared some things to consider.
Also with new developments, you’re also looking at the potentially having an HOA.
While some may have bad feelings about them. Louis pointed out how they can work to your benefit.
So if you’re considering buying a house with an HOA, take some time to do research and better understand it.
Spotting Great (and Still Affordable) Neighborhoods
It is very tempting to buy in a trendy or popular neighborhood.
The hot restaurants, fantastic parks, and the best schools all seem to be in only a few spots.
But you're going to pretty much pay a premium to live there. And you may instead find that they don’t even really suit you.
Louis had an example of how buying into a hot neighboorhood isn’t always the best move.
So what do you do? How do you find that gem of spot?
Ah, the diamond in the rough or as HGTV calls them – fixer-uppers.
Finding a Fixer-upper (Not a Money Pit)
If you’re ever watched house hunters, then you’ve probably seen this – a couple looks at homes and makes comments about the places.
Sometimes it’s a legit complaint (they notice the AC unit isn’t in good condition), but most times they complain or compliment all about these surface finishes.
“I love the countertop”
“Did you see the fixtures? Oh!”
And my favorite are the couples who hate the paint. Yes, there are people who can’t see past one of the most easily fixable things.
When I spoke with Louis Guillama, he told me that time and again people buy based on what they see.
Which is understandable, but if you’re trying to get a great deal you need to focus on crucial areas of the home.
So this is where I can tell from personal experience that’s he’s right.
Our first home – the new construction? Yeah, we thought we could save money because it was all new.
Sometimes when you see these builders come in and have developments go up quickly and the quality isn’t what you expect.
We saw things here and there that were done right the first time and when it came time to sell. Another issue was evident. The windows seals were broken.
We had to replace all but like one window.
So better believed that this time around we had a home inspector.
We did this with our current place. We loved the house’s layout, the natural light, and the overall location, but the basement.
There was so much potential, but between us and the inspector, we saw we needed to make a repair if we have planned on finishing it.
If we bought as is, while we could have afforded it, money would’ve have been tight for awhile.
Instead, we negotiated a lower price that allowed us to get the basement properly fixed, keep the mortgage affordable, and now have an awesome home office space for both of us.
Which is a huge win in our book.
And if you’re looking at a fixer-upper, it pays to well… pay someone to dig into your potential home so you can avoid a money pit.
Key Takeaways on Buying a Home
Before we close up I want to focus on some key takeaways I got between talking with Louis and our own experience:
- Train yourself to see through the hype and stay objective.
- Be willing to dig and find the gems. More work up front, means less work later.
- Go for the fixer-upper (not the money pit).
If you’d like to chat more about buying or even selling your house, please join us in our private and free Facebook group – Thriving Families.
Hope to see you there!
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