There are many reasons to buy real estate. One of the primary reasons is for long term financial wealth building. Here are a few tips to help you get the best deal, and save money when buying Logan real estate:
1. Use a Buyers Agent. A buyers agent represents you as the buyer, not the seller. They generally don’t know who the sellers are and rarely contact the seller directly. The agent on the for sale sign, the “listing agent,” is contracted by the seller to represent them, and help them get the most money out of their home.
The goal of a good buyers agent is to help you find the best home, and get it at the best possible price. Not only will using a buyers agent save you time, but likely money as well. A good buyers agent knows market conditions, what properties represent excellent values, how to purchase short sales and foreclosures, and if sellers are in position to negotiate on price.
2. See if you qualify for first time home buyer programs. First time home buyer grants are awarded up to $5,000, and first time buyer home loans can save you around a half percent on monthly interest. There are often special programs available for people who purchase real estate in Logan, and in Cache County.
3. Avoid paying mortgage insurance as soon as possible. If your down payment is less than 20%, and you have to pay Private Mortgage Insurance, refinance as soon as your home can be appraised for 20% more than the amount you own to eliminate that extra insurance premium.
4. Buy your home with then intention of paying it off. When you can, make additional principal payments, or consider a bi-weekly mortgage option. Making extra payments can reduce your mortgage length by years. Another great way to save money is to start out with a 15 year fixed mortgage to begin with. 15 year fixed mortgages have a lower interest rates, and you will pay your house off twice as fast, and waste substantially less money on interest.
5. Protect your investment. After you purchase a home, make sure you treat it right. Use proper maintenance and weatherization methods and fix minor issues before they become a crisis.
Buying your home right, will give you years of happy home ownership.