Where I live, just two days ago we were experiencing some pretty rough winter weather. However, today it was warmer and you’d never have known the storm had ever happened. In fact, the birds were singing earlier reminding me that even warmer days will soon arrive.
On the heels of the warm weather will be the end of school and final exams for students. Once those are over, some families will pack their belongings and lives to move to other parts of the country.
But finding new family quarters in just a few months isn’t an easy task. In fact, with all that must be done it’s a pretty major undertaking most of the time. If you’ll be moving in the near future, here are some tips to help you buy the best house for your budget.
1. Decide a Price Range
As big of a deal as moving is, you certainly don’t want to repeat it soon if you can help it. That’s why to help you buy the best house for your budget you should decide a price range first.
If you’re selling the house you currently live in, use the proceeds as a down payment for your new dwelling. You may have to finance the rest if that doesn’t cover it in full.
Of course, there are lots of things that can affect your numbers such as the city you’re moving to. In addition, current prices in the housing market, proximity to schools, work, and other factors play a part.
After you weigh all of the information, use it to decide on a target price range. This will give you a starting point as you begin searching for a new home.
2. Determine Home Requirements
Rather than buying a home based solely on looks, consider features that are important to you. If you have kids, how close is it to their school? Is it in an undesirable area such as by an airport or highway?
Also, what about home security? An affordable home security system can keep your property secure and alert you if any issues were to arise. The main thing you will want to have is an alarm that will go off if an uninvited guest tries to enter your home, when you’re there or while you’re away from home.
These types of questions must be addressed so you can determine your requirements for a new home. That is another tip to help you by the best house you can for the money.
When you discuss housing needs with your partner, make a list of absolute must haves. Then take inventory of wants as well.
Enter your search without wearing rose colored glasses. In other words, know that in all likelihood you won’t get all of the wants on your list. Still, getting some of them along with most or all of your musts should be counted as a win.
3. Talk to Your Banker
Another thing that will help you buy the best house for your budget is to talk to your banker. Discussing your options early can help you avoid making financial mistakes. They can even help you decide if you are really ready to buy a house.
Your banker can help you get pre-approved for a loan which may help in your search for a new home. It can also speed up the whole buying process.
4. Find Out Your Credit Score
Having a good credit score of 700 or above can get you a home loan with lower interest rates. It will also help you buy the best house for your budget.
Therefore, it’s important to know what your credit score is before you begin house hunting. If it’s low there are ways to raise it and save thousands on your loan. To find out more about credit scores and how to get yours, go to USA.gov.
5. Consider the Rest of Your Budget
During your search for the best house for your budget don’t forget about managing the rest of your household costs. If you’re moving to a different city or state, other expenses could drastically alter your monthly budget.
For instance, the cost of groceries in some areas is very different from others. You can expect tourist towns to charge up to three times more than in some other areas.
Gasoline, clothing, and many other goods and services can have a huge impact on your finances as well. Don’t just exchange your current housing costs with your new budgeted figure without considering this first. Instead you need to learn how to budget for your new house.
Certainly moving is a huge undertaking and it’s expensive. That’s why you need to buy the best house for your budget. Use these tips to help make it happen and maybe even find the home of your dreams in the process.
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Sally Blunt says
Literally a couple of days ago I thought about buying a treehouse. Huh, these tips are also would be useful for my situation. Gonna try Personal Capital, as well. Thank you. Keep on a great work.
A treehouse would be kinda cool – at least until it storms. Then I am not so sure!
Troy Bombardia @ Bull Markets says
It’s amazing how different prices are for houses. My wife and I were looking at a decent 2k square foot house on an island (kind of like a vacation home), and it would cost just 100k!
Meanwhile here in Sydney, even the smallest of one bedroom apartments go for half a million.
That’s true, in areas where space is very limited the prices of housing and apartments is ridiculous!
Fernando Alves says
Hello, your tips are very valuable.
Recently I moved into a bigger and newer apartment.
The problem was that in the old apartment, what my family most liked, was the view towards the central part of the city.
the new apartment is wonderful, but has a view of a cemetery, and my family did not like to live with burials, this has troubled enough, so in our next move, I will follow your valuable advice and better plan our choice.
Thank you for sharing these valuable tips.
That’s too bad! When looking for a place it’s a good idea to keep a notebook with you so you can jot things down as you see them in each place you view. Then when making a decision you have extra info to help you remember certain details about each place.
Millie Hue says
My husband and I don’t really have that much money, but we wanted to buy a property of our own already because we think that it’s more reasonable to do so than rent. So I am really grateful for your article which will actually help us buy our own property even if we have a tight budget. My favorite part is when you said that we should already have a price range in mind. As you mentioned, doing so will help us start the search for the house that we can potentially afford. Thanks!
I’m glad you found the article helpful. Good luck with finding your place!