Choosing a Home

Once you've established a price range that you’re comfortable with, you may be faced with deciding whether a resale home or a new home will best fit your needs. There are risks and benefits associated with both, but understanding the market and the area surrounding your chosen neighborhood will help you weigh those factors.

For example, new construction builders often offer incentives for buyers to get into a new home, however the area surrounding the new neighborhood may be undeveloped.

On the other hand, resale properties available in more established neighborhoods usually don’t offer the incentives, but have stable historic data from comparable homes sold to base prices after.  Uncertainty about the future development weighed against the benefits offered through a builder or seller should be carefully considered on a case-by-case basis, and with the help of a professional Realtor.

It will also be helpful to consider the following when narrowing down your home search:

Consider Resale Potential

As you look at homes, you may get distracted by how well a home seems to fit your personal needs, however, it’s also important to consider what you’ll face when it’s your turn to be the seller. When choosing a home, keep in mind these resale considerations:

• One-bedroom condos are more difficult to resell than two-bedroom condos.
• Two-bedroom/one-bath single houses generally have less appeal than houses with three or more bedrooms, and therefore have less appreciation potential.
• Homes close to commercial developments, busy streets, train tracks or undeveloped land may take longer to sell and go for less that a comparable property in a better location.
• The most expensive houses on the street or ones with anything unusual or unique are not always your best investment. The highest potential for appreciation is usually found in a less expensive, more moderately sized homes with up-to-date floor plans surrounded by higher-end homes.
• Homes with "curb appeal," i.e., well-maintained, attractive and with a charming appearance from the street, are helpful features to have when reselling.

Use a Features Wish List to Keep Your Search Focused

Make a features wish list to clarify which features are most and least important to you when looking for a home. Using this Features Wish List to remove potential properties that do not possess your required features will keep your house hunt focused and effective.

Use a Home Comparison Chart to Keep Your Observations Organized

While house hunting, it's a good idea to make notes about what you see because viewing several houses at a time can be confusing. Use a home comparison chart to help you keep track of your search, organize your thoughts and record your impressions.

Act Decisively When You Find the Right Home

Before you begin the home buying process, be prepared to act quickly when you do find the right house. Taking action is important when you find the house that’s clearly right for you so that you can ensure you don’t deal with competing bids from another buyer, and you get the property for the best price possible. This also means getting pre-approved for a mortgage and having earnest money readily available for when time is of the essence.