| When you're looking at many houses, it can be easy to forget which ones have which features. Many of them will have some of the features you need; some will have more than others. Before you begin looking, make a list of what you think you need and what you want. You may want to look through magazines and cut out pictures of homes, designs or décor that you like. To track this, try keeping a notebook that puts all the information about your search in one place. You can use a three-ring binder filled with notebook paper, dividers and pocket inserts to hold papers and pictures. Each section can focus on a home, its features, and your notes on thoughts and feelings. Don't forget the camera. Here are some questions you may consider as you go through this process. | | Where do you want to live?
This is a major consideration that’s based on your current or desired lifestyle, as well as what you can afford.
Do you want to be in the city or on the outskirts in a suburban area? Do you want to live in a rural area away from the hustle and bustle, or do you want to be close to museums, schools, restaurants, and activities? How far away is the neighborhood from your workplace or schools? What is the transportation system like? What will your commute be? Get a map of the area. If you can, drive through neighborhoods and take pictures of homes you like, making notes of neighborhoods and areas you find appealing. If you're looking in an area where you currently live, try taking different routes home from work to widen your search. What type of home do you want?
Do you want a single-family home – such as a ranch, split-level, contemporary, log cabin or colonial – or a townhouse or condo? Do you need one bedroom or five? Do you want stairs? Do you need a garage? Townhouses
Maybe you don't want the responsibility of extensive property maintenance. A townhouse may be a good choice. While you may pay homeowner association fees, management companies generally take care of most groundskeeping and other property maintenance.
- Amenities, such as a pool, parks, and clubhouse are often available
- Small yard area, few responsibilities for exterior upkeep
- Neighbors close by, feeling of security and community
- Can be less expensive than a single-family home depending on the area
- Homeowner association fees and rules
- Less privacy
- Parking may be limited
Condos
Maybe you don't want the responsibility of any property maintenance. A condo may be a good choice. While you will pay condo owner association fees, you will have very few if any exterior responsibilities.
- Amenities, such as a pool, parks, fitness facilities, and security are often available
- Located in urban areas, close to public transportation
- Can be more affordable than a single-family home or townhouse
- Homeowner association fees and rules
- Less privacy, neighbors above, below, and beside you
- Possible parking issues
Note: Townhomes typically have two to three levels, while condominiums generally are "flat" — a single level in a large building. Manufactured homes
Manufactured or modular homes often are less expensive because all or parts are built in a factory. Because they are built indoors, they are not subject to outdoor elements during construction. These homes vary in price and style from two-level prefabricated homes with significant amenities to mobile homes. In many cases, you can't tell a modular home from a traditional "stick-built" home. Look under "home builders" or "manufactured" "modular" homes. Many builders offer manufactured homes even if they don't advertise them.
- Less expensive, frequently costs half of "stick-built" homes — which include land cost
- Can be put together in the factory in approximately two to 12 weeks
- Must have land to put the house on (purchased, owned, or land-leased)
- Must be aware of weather patterns, as mobile homes may be more easily damaged in hurricane-prone areas
What type of community do you want?
Consider the proximity of the neighborhood to hospitals, parks, grocery stores, and shopping. Where are the schools and what is the school system like? What kinds of community programs are available? What churches are in the area? Are there daycare facilities close by? Is public transportation available? Is there an airport nearby? Where’s the closest public library or post office? What are the local crime statistics? What are the tax rates and when are they assessed? Is there trash pickup? You can find out all of this information and more on state and local government Web sites. See Related Links to find helpful resources for this information and more. Do you want to explore alternate ways to buy a home?
Here are some options. For sale by owner (FSBO – often pronounced "Fizzbo")
Many sellers in today’s competitive market feel confident in selling their homes without the assistance of a real estate professional. These homeowners avoid the cost of the real estate professional’s commission — usually 3 percent to 7 percent of the selling price.
- Selling price may be more affordable because it doesn’t include the real estate professional’s commission
- Seller gets to keep more of the selling price
- FSBO sellers often do not know the legal requirements of real estate transactions
- There’s no intermediary between buyer and seller — buyer may have to pay attorney costs
- Homes may be hard to find because advertising is less standardized.
- These homes usually are not included in major real estate listing-service databases.
Build your own home - Design home the way you want it
- Choose the land you want to build on
- Be the first to live in the home
- Design landscaping
- Takes time to acquire land, prepare it, and build structure
- Requires skills and knowledge to act as general contractor or to deal with a general contractor
- Takes time to make decisions and be active in the process
- Depending on area chosen for development, there may be additional costs (well water, sewer installation)
- Finding land in the area you want may be difficult (less expensive or available land may be further from schools, shopping, etc.)
- Contract management and enforcement rests on you — little recourse
Foreclosed homes
A foreclosure happens when an owner can no longer make the payments and the lender re-possesses or takes back the property. Buying a foreclosed home could offer great savings, but the property may need major repairs.
- Savings can be significant
- There may be unknown liens; an attorney’s assistance will be needed
- The house may need repairs; houses are usually sold "as is"
- You will need money to bid on the house if it is sold at auction; usually a foreclosure is sold for cash
- The process goes very quickly; you must be ready to act
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