The real estate market in Princeton is constantly on the heat-up. According to history, low unemployment and interest rates compounded with shrinking housing supplies, has culminated in some home value increase in a variety of markets. As a matter of fact, the National Association of Realtors (NAR) says that national median existing home prices were up to 6 percent as from April 2016, in what was the 62nd consecutive month of price increment. This led to lowness in affordability, making buying that dream house somewhat Herculean, particularly for those who are getting their first home. Well, Princeton, New Jersey is a nice place to get an apartment or start a family, so there us every need to do it just right. Want you know how? Lookat these five generic tips.
Choose the Right Price Point
If you plan on buying a home in Princeton, NJ, you need to determine how much you are willing to spend in buying a house. How much is too much? You don’t want to end up purchasing more than you can afford and end up with excessive mortgage debt. Rather than taking the poor approach of borrowing a risky amount of money from the mortgage company, establish a financial game plan that will leave you with the sufficient money cushion for all your annual expenses, including savings. Keep in mind that any home purchase that prevents you from saving for your future may be on the high side.
Factor In Miscellaneous Expenses
The big shift from renting to owning can cause some newbie buyers to overlook expenses they don’t have experience paying. Real estate taxes, homeowners’ associations (HOA) fees, utilities and ongoing maintenance of the property are no different in Princeton, and they can add considerable cost over time. Run your own numbers and take renovations, furnishings and tax increase into consideration for the over-time basis and figure out what you can really afford.
By now you should know what kind of home you are looking for and the kind of Princeton neighborhood you intend to live in. You should also know how much you’ve saved for a down payment, which in turn will determine the type of loan you should be after. Having compared a few rates, you should request a pre-qualification letter – which requires you to select a mortgage lender to work with and obtain your loan. It is a way of promising the lending party that you are eligible to borrow up to a certain amount of money at a given interest rate, subject to a property appraisal and other documentation.
Hire An Agent And Inspect
In fact, talk to real estate agents. Well, the Federal Fair Housing Law prevents these agents from giving you information about protected classes such as churches’ locations, school rankings and ethnic neighborhood makeups, they can yet be a wealth of information in the Princeton environment. Real estate agents will protect your interests and get an inspection fixed for you, compared to inexperienced agents that may just charge-and-bail for your services.