OUR CAPE COD HOMES TEAM - EXIT Cape Realty



Posted by OUR CAPE COD HOMES TEAM on 10/24/2017

Many first time home buyers think of the age of a home like a time bomb. With age comes costly repairs and renovations that are often avoided (or at least prolonged) if you buy a newer home. While it is true that older homes are prone to needing more upgrades, they also have many advantages over newer homes. What you don't often hear is that if an old home is maintained properly, it can be as good if not better than living in a newly built one. Old homes often come with perks that are forgotten or ignored in the buying process. In this article, we'll go over some of the best reasons to own an old home, and some of the things to look for when house hunting.

1. With age comes wisdom

Old homes are filled with history. From the people who built and lived in the home, down to the tiny architectural details, these houses will shed light upon what life was once like in your neighborhood. For those eager to learn about the history and culture of their neighborhood, it has never been easier to access historical data from internet archives or your local library. Aside from being historically significant, old homes are also aesthetically interesting. Depending on the architectural style and location of your home, it could have been built using any number of materials and techniques. Today, mass production has made home-building much more streamlined and efficient. Unfortunately, that has come at the cost of some originality in style.

2. Cost

In many instances, old homes are cheaper to buy than new ones. One reason is that sellers assume that buyers will have to pour money into the home to keep it updated and adjust the asking price. Another is simply that your average homebuyer values new homes over old ones. If you enjoy older homes, that gives you a financial advantage. For those homebuyers interested in do-it-yourself repairs and upgrades, buying a "fixer upper" is a great way to save money. However, be aware that some repairs should be better left to the professionals, especially when dealing with hazardous materials like lead paint and asbestos.

3. Location

America is a young country. So the oldest homes tend to be built in centralized and urban areas. That often means easy access to things like grocery stores, schools and highways. Aside from being convenient, old neighborhoods also tend to have developed communities and landscapes. The streets are probably lined with aged trees that provide plenty of shade, and there's a greater likelihood of having nearby parks or ponds.

4. Prime land picks

Older homes tend to have the best plots of land because, well... they got the first pick. As a home buyer, this could be a huge if you're looking for a larger backyard or one with great natural features like aged trees and natural bodies of water.   When you're out hunting for new homes, don't look past the older homes. You might find that they have many benefits that are great for you and your family.  




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Posted by OUR CAPE COD HOMES TEAM on 10/10/2017

For most college students and recent grads, the prospect of buying a home seems slim and distant. With the cost of a college education growing each year and the price of houses inflating, it can seem daunting to begin to save for a down payment or build credit.

 However, there are ways to start planning now for buying a home, even if you are burdened with student debt and rising rent.

 In this article, we’re going to do just that. If you’re a recent grad or a current college student, read on for a guide to buying a home.

What do you need to buy a home

Once you graduate college you might be wishing you could have taken an elective called “How to Be an Adult 101.” There are many personal finance problems in life that just aren’t taught in school, from saving for retirement, to borrowing for a house or car, to investing in stocks and bonds.

So, what are the main things you’ll need to buy a home? Before you start applying for mortgages, you should know that just because you can get approved doesn’t mean you should buy a home.

Purchasing a home is a huge investment and one that most homeowners take decades to pay off. With high interest rates and private mortgage insurance (PMI), the cost of owning a home can be immense.

To avoid PMI and get a good interest rate, you’ll need a few things.

Credit score

Your credit score is one thing that lenders take into consideration when determining how risky it is to lend to you. They want to know that they’ll receive a return on their investment and that you won’t stop paying your mortgage. A good way to gauge this is by looking at your financial history.

Your credit score mainly takes into account the following five things:

  1. Payment history - 35%: Do you pay your bills (utilities, loans, etc.) on time each month?

  2. Credit usage - 30%: How much of your maximum credit have you used? If you max out your cards this can reflect poorly on your ability to manage money. However, if you don’t use any accounts you might have a hard time building a payment history.

  3. Length of credit history - 15%: The longer you’ve been paying bills the more trustworthy you are to lenders

  4. New credit - 10%: If you recently opened or attempted to open cards this will temporarily lower your credit score as it could be a sign of financial duress

  5. Types of credit - 10%: store accounts, credit cards, loans, etc. Having a variety of credit types will boost your score.

Having student loans as a college graduate can often give your credit score a leg up on others who don’t have a credit history. However, to boost your score you’ll want to keep making on-time payments and consider using a credit card if you can afford it.

Employment history

Most recent college grads cringe when they hear that their employment history is important to lenders. However, you might be pleased to know that being a full-time student is something lenders take into consideration.

They will, however, need to see employment history from your current employer, and the more you can prove that you have a stable job the better.

Down payment

One of the most important things you can do right now is to save for a down payment. Designate a portion of your paycheck each week to a separate savings account if you need to in order to hold yourself accountable. The bigger down payment you can make, the better your interest rate and the more money you’ll save over the length of your mortgage.

Finally, don’t let increases in your salary change your lifestyle. Staying frugal will help you avoid “lifestyle inflation” or spending more simply because you make more. Decide what you value, and choose purchases wisely.




Tags: College   home buying  
Categories: Uncategorized