Make Sure To Think About The Total (Near Term) Cost Of Purchasing A Home


Make Sure To Think About The Total (Near Term) Cost Of Purchasing A Home
By Scott Rogers • July 5, 2019
As one small example... A first time buyer looking to buy a detached home (not a townhouse or duplex) under $225K might find themselves considering mostly homes that are at least 50 years old. Said buyer might find the perfect home built in 1945 that is "move-in ready" with pretty paint on the walls, and beautiful furnishings, and a well-kept garden, and a quaint covered front porch, and on and on. This buyer is likely head-over-heels excited about the house at this point, as it is priced at $230K, just barely above their target maximum of $225K. But before the buyer signs that contract to make an offer on the house they should probably pause at least for a moment to ask some questions and to consider... How old is the roof and will it need to be replaced in the next three years? How old is the heating system and will it need to be replaced in the next three years? There are plenty of other items that might need updates or replacements in the next three years, but they are all either of a lower cost or elective - though these costs could also add up: replacing the water heater painting or sealing or covering the siding, exterior trim, deck, etc. replacing kitchen appliances replacing old and worn out flooring replacing old and worn out looking lighting or plumbing fixtures But circling back to the first two items - the roof and heating system - these are pretty much non-negotiable. If either quits working as it should, you'll need to replace it. And if you're maxing out your housing budget with a $225K-$230K home purchase, and then within a year or two you need to spend $8K - $15K on a roof and $8K - $15K on a heating system, that will likely create some financial stress for you. So - always be sure to think about the total cost of purchasing a home, especially when you are on a tight budget or when you are buying an older home. Receive Updates by Email Recent Articles: There Are Plenty Of Types Of Houses That Exist That Just Are Not Available To Purchase Home Sales By Price Range In The City Of Harrisonburg Are You Compromising On Aspects Of Your Next Home That You Can Or Cannot Change Later? How Much Slower Are The Winter Months In Our Local Housing Market? Rockingham County and New Home Sales Drive Surge in Area Housing Market Find The Balance Between Optimistic And Realistic Home Pricing Room Size Is Difficult To Understand Solely From Real Estate Photos How Much Would You Value Not Having To Prepare Your Home For Showings? One Out Of Four Homes Is Taking Longer Than A Month To Sell Consider The Cost Of Your Planned Renovations When Planning Your Offer
Have any questions? Contact Scott Rogers at 540-578-0102 or scott@funkhousergroup.com
Based on information from the Harrisonburg-Rockingham Association of REALTORS® or its MLS, for the period Jan 1, 2000 through Nov 21, 2024 (unless otherwise noted).
Comments (0) or Subscribe