Sally Malsch, CRS, GRI, ABR, SRES, ePRO
Five College REALTORS ģ | 413-519-4465 | [email protected]


Posted by Sally Malsch on 2/28/2018

When youíre gearing up to make the largest purchase of your entire life, you have a lot to think about. Thereís also a lot of emotion involved in the entire process. You donít want those emotions to get in the way, causing you unnecessary regret in your purchase. A home is not like a sweater that you can head to the store and return. What do current homeowners wish that they did differently in their home purchase? Below, youíll find some of the most common regrets of homeowners. If you know what to look out for, you can avoid the same kind of buyerís remorse in your own home purchase. 



Not Doing Research First


In hot markets, it can be hard to find the time to do the research and secure the home you want. Before you even begin searching one thing you should have a handle on is location. You probably have a general idea of where youíd like to live. You can research these neighborhoods ahead of time in order to understand the makeup of the area. You should take a look at everything form schools to safety to the amenities close to the location of choice. Do this for a few different areas so that youíre completely prepared before you even head out on the house hunt. Even if you end up in an area you never pictured, if you have a general idea of the spots youíre looking at, it will be much easier to tell what a neighborhood will be like to live in ahead of time. The best advice is not to pin yourself down to searching in one area. 


Not Knowing Anything About The House


If you failed to pay attention during the home inspection, didnít ask a lot of questions, or were just blind to some of the issues that were apparent in the home you bought, you could be in for quite a surprise. Understanding the problems a home has is one thing but knowing how much those repairs are going to cost is another. If you are trying to beat the competition by skipping the home inspection or waiving contingencies, you may end up being pretty unhappy in your new home with an empty wallet. Some repairs cost more than you know and itís important to be aware of what needs to be done in the home before you sign on the dotted line.   


Missing Out On A Big Downpayment


Sometimes that little extra bit of savings can really help. Even though many first time homeowners are simply eager to get into a home, waiting a bit and saving more for a downpayment can significantly lower the longterm costs of homeownership. This includes things like fees, interest rates, and PMI (private mortgage insurance). Also, having a larger downpayment can help you to get a house that you really want when the market is highly competitive. Youíll appear more reliable to sellers. Remember that the higher your downpayment, the lower your monthly payment will be.     

  




Categories: Uncategorized  


Posted by Sally Malsch on 2/7/2018

Newlywed life is such an exciting time! Itís also a time many couples decide to buy their first home together. And therefore aside from having a wedding, itís the first major financial decision couples make together. Hit the ground running together with these tips:

Co-managing money: If they havenít already combined finances before the big day many couples choose to do so after marriage. Learning how to manage money on your own is a task unto itself but managing it together is a vital skill for newlyweds. You can avoid unnecessary fights over money down the road by getting on the same page financially now. Get really honest with each other. Put everything on the table, especially various debts you each may hold, from credit cards to school loans itís all important to get a true snapshot of your combined finances.

Create a budget for your life together. Calculate your combined expenses. Consider where you can cut back on services and habits to save money and what you need to add to your budget. Be sure to consider: savings for a nest egg, vacations, car repairs, and unexpected medical emergencies. You may also want to begin saving up to start a family or plan for retirement. When you have a complete picture of your finances you can then look at whatís left over. What kind of down payment and/or monthly payments will you be able to realistically make with this amount?

Youíll also want to talk to each other about your lifestyle goals. If youíve always dreamed of living in the city or a small tightly-knit town. Perhaps youíve always imagined a large, spacious home while your partner is thinking of something smaller to focus more on traveling. Do you want a garage, a big yard, a pool or to be close to family? Getting clear on what you each expect from your ideal home will help you find the perfect middle ground where you will both be happy.

Itís best to be able to make at least 20% of the house cost for a down payment. The higher the down payment you can make the better as youíll have lower monthly payments and wonít get hit with extra fees from your insurance. If you canít save up this amount, look into first-time buyer loans which allow new buyers to make a smaller down payment.

Be prepared. Remember to plan and budget for closing costs on your home. You donít want this price tag to catch you off guard. Other things to be financially prepared for throughout the year are property taxes, homeownerís insurance as well as maintenance and upkeep.

Being newlyweds is an exciting time where you have the rest of your life together to look forward to. And buying a new home, in a lot of ways, can feel like the first major step in laying down the foundation for a long, happy life together.




Categories: Uncategorized  


Posted by Sally Malsch on 7/8/2015

You've been thinking about buying your first home and it is a very big decision. It is typically not a decision you make overnight instead you need to take the time prepare yourself. †Here are the basic steps that you should follow when it is time to buy a home.

  1. Ask are you ready? Home ownership is quite different than renting. It is a lot more expensive than renting. You will have added expenses and responsibility. There will be expenses like repairs, added utility costs, such as garbage and water, plus taxes and insurance related to your home. You will want to make sure to†have an emergency fund, before you purchase your first home.
  2. Shop for a loan. Your first step will be to get preapproved. Knowing how much you can afford will help you to look for homes within your price range.
  3. Figure out how much you can afford. Just because you are preapproved for a certain loan doesn't mean you can afford that in the real world. A good rule of thumb is to keep your mortgage along with your taxes and insurance between twenty five and thirty percent of your income. You don't want to be house poor.
  4. Use a real estate professional you can trust. †A good real estate professional will listen to your wants and needs carefully. It is important that you are also educated on the process of buying a home. A good real estate professional will help meet your needs while navigating you through the process and advocating for your best interests.