Just because you are buying a home, doesn't mean you have to sacrifice value or much money. You can find valuable houses for less through bank foreclosures and other means. Many people fail to look through these listings and continue to lose money. This article focuses on how to find good houses for less.
Things You Will Needpen and paper.
Step 1Consider the location. It's important to consider the location for many reasons. You don't have to move to another state to benefit from lower costs of real estate. Depending on where you live, you could move 30 miles and get a cheaper price on land. If you want to move to the mid west, you could save even more money. You must first consider your situation and how likely you are to move to another area. At least consider moving to an area close by, where real estate prices are lower than your current city.
Step 2Take advantage of tax breaks. The government offers you incentives to invest in real estate if you are a first time buyer. You may be eligible for thousands in tax credit. You can consult with a real estate agent or accountant to take advantage of these incentives.
Step 3Consider the design and size. Depending on how many people you live with, you might want to consider down-sizing to accommodate your budget. You could buy a smaller home and add more to your home later when your budget will allow it.
Step 4Look up bank foreclosures. Bank foreclosures can be found in nearly any city or state and can save you a lot of money. These foreclosure auctions will typically sell the home for the amount owed. This means, you can get a house for half what it's worth and there is no catch. You can also go through financing companies and pay a mortgage. You can usually find these auctions online or in your local paper.
Step 5Consider tax foreclosures. Tax foreclosures are similar to bank foreclosures in that, they offer you the ability to pay off the remaining taxes and own the property. The party has up to one year to come up with the taxes owed to save the property. You can still rent out these properties for the entire year until the party pays the back taxes. If they don't pay, you own the property free and clear. You can find these auctions in your local paper or online.
Step 6Talk to a real estate agent. A real estate agent can discuss many things with you. They can let you know about the tax credits and other incentives offered to first time home buyers. They can also let you know which areas are the cheapest and best value. They will also be able to help you find ways of financing.