We buy our homes to fulfill basic needs of survival, i.e. the safety and comfort of shelter. Yet purchasing a house can also serve as a financial investment, with the expectation of a generous return at re-sale time. Results, however, are often mixed.
When a house is conveyed from one party to another, the buyer is not simply purchasing property. Buyers pay for borrowed money, legal representations and warranties, evaluation services and myriad inspections. In short, the conveyance is bigger than the house itself -- and more costly.
A house has all kinds of benefits and blessings for a family. Whatever its physical and environmental defects, these are subjective qualities that can never be separated from the structure. At the same time, there are also objective standards by which a house is measured.
Selling or purchasing a home is a process with many stages. Your real estate agent will guide you through the steps regardless of which side of the transaction you fall. Here's a crash course in what to expect but keep in mind, it's not the same in every state.
When available house inventory is low and buyer demand is high there is little doubt that a sellers' market is at work. This certainly implies that sellers occupy the driver's seat when it comes to negotiating with purchasers. This is true, to some degree, but it is far from an absolute truth.
Older homes offer history, charm and comforting atmosphere. Few of them are cookie-cutter designs and they enjoy unique architecture and stately appearance. Of course, there is a flip side to all this distinction: older homes are, well, old.
People invest in second homes for myriad reasons. Sometimes they purchase it for rental income. Othes enjoy the tax benefits while still others simply want a place to get away from the grind. Whatever the motivation, second homes come with pleasures and headaches just like primary residences.
The seller might not budge; the buyer might walk away; a slew of offers and counter-offers leading to a collapse; or, after all is said and done, a contract gets signed. Sometimes that desired result comes after the seller lowers the price of the property.
Where some owners take the hit themselves, others benefit from sharing the responsibility with a homeowner's association (HOA). Yet this benefit, also, involves a recurring expenditure.