These 50 Money-$aving tips have been compiled especially for you to increase your buying power and are provided as another free service to my valued clients. Please feel free to call, write or e-mail with additional questions or to discuss your home buying needs.
- Money-$aving Tip # 1. Remember to take income tax savings into account when you compare mortgage payments with your current rent.
- Money-$aving Tip # 2. PREQUALIFICATION. The prequalification takes as little as 10-15 minutes and is designed to give both of us an idea about our shopping parameters and meeting your designated budget. You can call our in-house Countrywide Home Loan Consultant at (910) 539-6437, or by e-mail at Jo_Ann_Riley@Countrywide.com for a free no obligation pre-qualification. Jo Ann can provide you with hundreds of home loan programs and options for both conventional and VA/FHA guaranteed home loans.
- Money-$aving Tip # 3. For a free copy of your credit report, write to one of the following: TRW Complimentary Credit Report Request, PO Box 2350, Chatsworth, CA 91313; or; Equifax Information Service Center, PO Box 740241, Atlanta, GA 30374.
- Money-$aving Tip # 4. If you have a house to sell, we can furnish a free estimate of eventual sales price.
- Money-$aving Tip # 5. Even if the quality of a school district doesn’t matter to you now, remember it might some day to another buyer.
- Money-$aving Tip # 6. Expect lower maintenance costs with a brand-new home.
- Money-$aving Tip # 7. Moving can be costly, so don’t buy just for today. Consider the future now.
- Money-$aving Tip # 8. A Buyer’s Agent is legally obligated to strive for the lowest possible purchase price.
- Money-$aving Tip # 9. Never tell a seller’s broker how much you will raise your offer for a particular house “if I have to.”
- Money-$aving Tip # 10. Often the seller ends up paying the fee due to the Buyer’s Broker.
- Money-$aving Tip # 11. You can walk into our office and ask for an estimate on how much you can spend for a home – at no cost and no obligation.
- Money-$aving Tip # 12. When interest rates are low, go for a fixed rate mortgage. In years to come, as income, cost of living, interest rates and prices rise, your stable payment will become more and more of a bargain.
- Money-$aving Tip # 13. In North Carolina you are not entitled to interest on your escrow account.
- Money-$aving Tip # 14. You can save considerably on your homeowner insurance policy by agreeing to pay small claims on your own.
- Money-$aving Tip # 15. If your building itself is above the flood plain, sometimes you can avoid otherwise mandatory flood insurance.
- Money-$aving Tip # 16. Be sure you know the true tax figure on any property you are considering to buy.
- Money-$aving Tip # 17. The IRS allows deductions of property taxes and loan interest payments for cooperatives and condominium just as it does for single homes.
- Money-$aving Tip # 18. Investigate the financial health of the condo, cooperative or townhouse organization you would join.
- Money-$aving Tip # 19. Pay attention to floor plans; changing layouts of rooms after construction begins can be a costly experience.
- Money-$aving Tip # 20. Try to ignore sloppy house keeping and concentrate on basic condition; that’s one way to find a bargain.
- Money-$aving Tip # 21. Find out all you can about the seller’s situation to help you in price negotiations.
- Money-$aving Tip # 22. Remember that the best house on the street can be hard to sell, or to resell.
- Money-$aving Tip # 23. Look for plugged holes in the fascia or in the risers to the attic stairs, for spots where energy-saving insulation was blown.
- Money-$aving Tip # 24. Radon gas problems in a home can be cured easily and inexpensively.
- Money-$aving Tip # 25. Avoid home inspectors who also do repair work or recommend contractors.
- Money-$aving Tip # 26. Never make an oral offer on a house. An acceptance would not be binding, and you would only reveal some of your buying strategy to the other party.
- Money-$aving Tip # 27. Make up your mind in advance-and keep it to yourself-how much you would really pay for the property if you had to.
- Money-$aving Tip # 28. If a house has remained on the market for some time, it’s probably not worth what the seller is asking.
- Money-$aving Tip # 29. If you are pre-approved for a loan that may be useful in price negotiations.
- Money-$aving Tip # 30. Look for a mortgage broker who is paid only after you receive a loan commitment.
- Money-$aving Tip # 31. Do not send away for costly courses or information on how to buy real estate. I will give you the same information for free.
- Money-$aving Tip # 32. If you are well qualified, you may be able to negotiate away certain garbage fees.
- Money-$aving Tip # 33. You can deduct on that year’s tax return points paid by either party on the purchase of your own main residence.
- Money-$aving Tip # 34. Consider an adjustable-rate mortgage when interest rates are high.
- Money-$aving Tip # 35. Always ask if an adjustable rate mortgage might involve negative amortization.
- Money-$aving Tip # 36. Ignore low initial interest rates on an adjustable-rate mortgage and ask instead what the current rate should be.
- Money-$aving Tip # 37. Always check your annual statement to make sure extra principal payments were properly credited. Lending institutions can make mistakes too.
- Money-$aving Tip # 38. If you are using a balloon mortgage, be sure you have some good plan for refinancing when the balloon goes up.
- Money-$aving Tip # 39. If the bank’s appraisal comes in for a lower figure than your purchase price, the seller may agree to renegotiate.
- Money-$aving Tip # 40. If the present owner has a title insurance policy less than three years old, you could have substantial savings by buying a reissue of that policy rather than a completely new one.
- Money-$aving Tip # 41. Consider how much it costs per pound to move items and calculate how much cheaper it might be merely to replace them later.
- Money-$aving Tip # 42. If you qualify, the $125,000 exclusion is available whether or not you buy a replacement residence, for substantial tax savings.
- Money-$aving Tip # 43. If you inherit real estate, you receive it with a “stepped up” basis, eliminating capital gains tax on any previous increase in value.
- Money-$aving Tip # 44. Be sure to add the cost of improvements to your cost basis. Keep an accurate record over the years.
- Money-$aving Tip # 45. All property taxes you pay, even on a campsite or potential building lot, are income-tax deductible for the year in which you pay them.
- Money-$aving Tip # 46. Points paid at closing are deductible whether paid by you or the seller.
- Money-$aving Tip # 47. Be sure to deduct costs of selling to arrive at your adjusted sale price.
- Money-$aving Tip # 48. Contact your local utility for information about saving energy, and inquire if any incentives are offered if you install more efficient light bulbs or appliances.
- Money-$aving Tip # 49. When interest rates fall, find out what refinancing your mortgage loan could save you and what it would cost.
- Money-$aving Tip # 50. It’s always worth contacting a local lender first to see if a streamlined procedure for recasting your present loan is available. If it is, closing costs, new appraisal and credit checks may be avoided or will at least be less expensive.