Buying a Winston Salem rental property for the first time is one of the most significant milestones in life. It demands a large financial investment and must be planned very well from the beginning. Before you begin your home-buying process, you need to consider all the significant factors, such as the location, strategizing finances, calculating a mortgage, and finding the right house that fits your needs.
Winston Salem is currently one of the best places to buy a house based on the real estate market activity, the overall affordability, and the economic environment. The value of residential units in Winston Salem has increased by 17.7% since the last year. The area also offers competitive rent and is a renters’ market. In addition, Forbes has ranked it as one of the best places for careers, business, and job growth.
Here are a few tips to consider while buying a home for the first time in Winston Salem.
Look at Lots of Properties
While looking for properties, avoid finalizing a house right away. People spend months exploring various neighborhoods while trying to find a home that suits their needs and style. Winston Salem is known for its varied types of investment properties, from contemporary-style houses to bungalows. Choose a place that suits your needs, meets your aesthetic expectations, and is part of a community that improves your stay.
Plan the Upfront Cost
Finances related to buying a house for the first time are not just limited to mortgage payments. You also have to consider additional expenses such as down payments, inspection services, due diligence fees, homeowners’ insurance, and closing costs. You also need to calculate the monthly or yearly mortgage you can afford based on your income. Factor in these expenses and then decide a budget for the purchase.
Conduct a Rigorous Inspection
Before finalizing any deal, you have to ensure that you are getting a home worth its cost. The best way to do it is by hiring a professional home inspector to conduct a thorough inspection of your prospective home. You can check if there are any issues and if they are easily fixable.
The inspector will also help you determine the age of the place, whether there is mold or pests, and if the structure needs any fixing. Since the buyer is supposed to accompany you during the inspection process, you can investigate the property in more detail.
Account for Reasonable Closing Costs
Closing costs for a property include real estate attorney fees, taxes, and the mortgage processing fee. It is important to plan around these costs and decide on a budget accordingly. Ideally, closing costs should be around 2%-5% of the overall cost of your house.
Hire a Real Estate Broker
Consulting a real estate broker in the early stages of buying your first investment will save you a lot of money. Reach out to a Winston Salem real estate broker who specializes in the area’s real estate and has enough experience to help you find a home that fits your requirements. The right broker will guide you through the mortgage and negotiation process and help you narrow your search to find a place that matches your expectations.