Benefits Stability Freedom / Flexibility Decorate Pets Tax deduction Equity (Profit) Ownership (outright) Drawbacks Down payment (saving) Value may not go up Limited mobility High expenses Repairs Maintenance

Single-Family Dwellings Multiunit Dwellings – Duplex – Townhouse – Condominiums – Cooperative Housing (Coops) Shares in a Corporation that Owns the Property – Prefabricated Homes – Mobile Homes

Price and Down Payment Examine your income, savings, current expenses Determine how much you can afford to spend How much will you qualify for Size and Quality Trading Up Size Location

Neighborhood City Suburbs Small town / country Employment Opportunities Cost of living Climate Lifestyle Schools

Hiring a Real Estate Agent They arrange the sale/purchase of buildings/land Provide info: Location Market Contacts: attorney, insurance, inspector Internet / Websites Newspapers

Overall Size Location Schools Property Taxes Living Space Bedrooms Bathrooms Kitchen

Determine your price for the home Look at the listing price How long has the home been on the market/listed Similar homes sold in the neighborhood Buyers/Sellers market Current owners (in a hurry, old, estate, relocating) Condition of home Home fits your needs/wants

Offer may be accepted, rejected, or countered Conditions Closing cost (bank, attorney, inspector, title insur) On the sale of the home currently living in Sign Purchase Agreement / Contract

Down Payment – Suggested 20% or more – Private Mortgage Insurance (PMI) Financial Qualification – Income, debt, savings Interest Rate Factors – Market rate & Credit Score Repayment Period Size of Mortgage Monthly Payments

Fixed-Rate (aka conventional) – Fixed interest rate and schedule Adjustable-Rate (ARM) – Interest increase or decreases during life of loan Graduated Payment – Payment increases Subprime – Higher Interest Rate for Those with Poor Credit Government Programs - (FHA) & (VA)

Home Equity Loans Based on difference between current market value and the amount owed on mortgage Refinancing Another mortgage to replace the current one

Closing Cost – Title Insurance Insurance from problems found on title after purchase – Property Taxes – Home Owner Insurance – Bank Fees – Attorney Fees (may not be required) – Points – may buy points to lower interest rate – Mortgage Lock-in

Preparing Your Home Repairs / Paint Clean / Bright / Airy Maintenance (lawn / pool)

Appraisal Real Estate Agent Comparisons Evaluate an improvements Already completed Ones to increase value Kitchen Bathroom

Real Estate Agent Actively working Commission (5%-7%) MSL (listing it for the public) Advertising Save you money Time and Energy Handle your own Advertising Sale by Owner