What you need to know about buying a home in Louisiana
Are you ready to buy a home in Lousiana? It is one of the biggest and most significant financial decisions you’ll make in a lifetime. So, here’s what you need to know about buying a home in Louisiana.
Hire reliable realtor
Realtors get a cut of the sales price of a home. So, some buyers hesitant to use a realtor. People think it drives up the overall cost. But, remember that the seller, not the buyer, pays the commission. Potential buyers should know that a listing agent doesn’t protect your interests. That agent pocket both sides of the commission. So, you’re not saving money. But, if you get to know the makings of a reliable realtor and hire a savvy one, he’ll protect your interests and guide you through the buying process.
What you need to know about buying a home in Louisiana – A home purchase involves a contract
When buying a home in Lousiana, there are papers to sign. Many of them, look like standard home buying contracts with no negotiation place. But, that isn’t true because contracts are negotiable. So, you don’t need to sign a standard agreement. You can make anything you want or need a part of the deal.
Do not necessarily buy a home in Lousiana for the life you have now
Before you agree to buy a home and find help with your upcoming relocation, consider your long-term plans. Do you consider staying at the current job? Do you plan to get married and have a family? Perhaps the home you want to but isn’t the right home for you in a few years.
Look beyond paint
Usually, your dream home has one room that you’re fantasizing about changing. It’s pretty inexpensive to fix cosmetic issues like painting or placing wallpaper. But, learning how to transform your attic into a library and making those changes can be expensive. People tend to focus on the cost of items and forget about the labor cost. Labor can double to triple costs. Of course, that doesn’t mean that you should give up on a home that needs a significant fix. Just calculate those costs when determining whether you can afford to buy.
What you need to know about buying a home in Louisiana – Buy what you can afford
Some lenders say you can afford mortgage payments equaling about 1/3 of your whole income. However, others suggest closer to 28% for home-related costs. Including things like taxes, insurance, and mortgage. Many factors, including projected income, mortgage type, interest rates, and market, affects the decision. But, ask a mortgage broker to explain what’s in play.
Don’t fixate on the home price
Consider all of the costs linked with your potential new home. That includes:
- The insurance cost
- Homeowner association expenses
- Real estate taxes.
All those costs can quickly add up. Plus, home improvements aren’t the only ones that can cost money. Maintenance costs too. Then, compare. For example, a condo with a large fee but priced low can be more costly than otherwise. Also, a cheap home with big taxes can cost more a month than an expensive one with lower taxes.