Updated Plan For Scottsdale Homes: Minimizing Household Costs

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Have you saved enough to buy a new house or made enough on selling Scottsdale homes? If your answer is no, this can be because home buying and selling is no longer what it used to be and what you do not know can really cost you.

New real estate services, the myriad of mortgage programs from lenders, the internet, government and community agency grants as well as the booming housing market are some of the elements which have made a significant changed in the landscape.

Buying Scottsdale homes followed a simple situation. You found the one you desire to have, visited your bank, obtain a mortgage and relocated. Selling homes was not challenging either. You worked with an agent, paid a commission of 5%-7% and moved on. In order to reduce housing costs, you might want to consider the following pointers.

For Home Owners

Homeowners enjoy a hefty cache of equity as home values to appreciate quickly. Such equity can be tapped with house equity loans, cash-out refinancing and credit lines as long as homeowners know that an equity loan can also be an equity-depleting loan.

It is best to use equity for capital improvements including college education, home improvements and business start-ups which offer a better or equal return on your investment. Also, one-time debt consolidation can be a great move given that you rip up your credit cards and don’t go there again.

For Sellers

In terms of who sellers pick to represent them, they have a negotiating advantage. The increasing number of for sale by owner services and discount brokers offer sellers of Scottsdale homes the negotiating edge as they select traditional real estate agent who has been in the industry for a while and is still competitive.

In case you stay in a housing market where prices tend to have peaked and you consider downsizing to a cozier house, now is the right time to do it. It is important to do your research, understand the market and check house appreciation trends, investor incidence and rents.

For Buyers

When purchasing a house, scrutinize the fees of the mortgage broker since such fees can be hidden costs. You pay a broker to help you find a mortgage from a pool of lenders and he is likely to provide a deal you cannot otherwise get by yourself. Also, the service could cost you more than what you have to pay as brokers are paid through fees paid by the lender and such costs could wind up in your mortgage loan.

When you shop around, make sure you standardize the competition. Make use of the same costs factors with every comparison including type of loan, fees, points and down payment.

Buyers of Scottsdale homes who are worried about increasing prices abruptly declining following their purchase can minimize such risk by remaining in the house for at least five years. This allows the market and the investment enough time to rebound. Additionally, think about keeping your total housing costs to not over 31% of what you make every month.

Contact Jennifer at 480-748-6925 or Jennifer@JenniferWehner.com to get more information about exploring buying or selling SCOTTSDALE HOMES