When choosing a family home, you have many priorities. Getting a real estate agent’s advice will help you to determine your priorities and find listings that meet those needs. You’ll want to find a home in a safe neighborhood with good schools, a yard, and features for children and the disabled. A real estate agent can also help you find a home that is just the right size for your family.
Lessons learned from buying a parent’s home
While purchasing a parent’s home for your family may seem like a great way to help your parents, it can be tricky. The transaction can be messy, and you may assume that everyone understands what each other is talking about. There are many potential problems, including financing issues, so you should be prepared for them. Here are three tips to help you avoid any pitfalls. First, remember to set clear expectations and avoid getting stuck in a bind.
If you can, avoid buying your parents’ home without a real estate agent. Not only will this save you thousands of dollars in commission fees, but you can also avoid some other important costs like appraisals and home inspections. You may also be able to negotiate the price more freely. For example, if the parents are selling the property, they often will transfer the equity to their children. This gift will help you meet the down payment requirements.
Buying your parent’s house is not an “arm’s length” transaction, so your lender will closely scrutinize the transaction. They want to ensure that no rules were skirted or any parties were manipulated. You’ll also need to consult with a property attorney to protect your interests. Your elderly parent may also pass away while the transaction is going on, and you won’t know what to expect.
Factors to consider
While amenities are great for the home, they shouldn’t be your only criteria. When buying a home for a family, pay attention to the school district and private schools. You don’t want to end up in a neighborhood with poor public schools; instead, you’ll want to choose a neighborhood with good public schools. You can check test scores and other posted criteria to determine which schools are good for your children.
One of the most important factors to consider when buying real estate for your family is affordability. If you can’t afford a home, renting is a better option. As the housing market continues to struggle with record low inventories, competition for the best homes is fiercer than it has been in decades. Make sure you’re prepared to make multiple offers and pay thousands more to get approved for the home of your dreams.