Questions to ask about a Potential Home
The process leading up to making an offer on a home can be a daunting. If you are considering making an offer on a home, you may want to start by getting some information about the seller. There are a number of questions all buyers should ask when shopping for a home.
Why is the seller selling the house?
This is an essential question when buying a home. The reply may help you structure a potential offer. Gaining some insight into the seller’s motivation will help you determine not only how motivated they are to sell but also how they might assess your offer.
How much did the seller pay for the home?
Generally, the seller who purchased their home for a low price and built up equity in the property over several years may be more flexible when approached with offers. On the other hand, homeowners who haven’t seen such an increase in their home’s value might be more reluctant to lower their asking price.
Knowing how much the seller still owes on the mortgage or home equity loans on the home is a good way to determine the amount the seller will need to have at closing time, and this will help you better tailor your offer on the home.
What types of repairs have been done recently?
Homeowners will always be happy to tell you about upgrades that have been made to the home, but you may want to pay attention to what isn’t mentioned. It is important to ask because you will be able to tell if a kitchen or bathroom was remodeled after viewing the home or consulting the disclosure document, but you might miss some smaller issues that could impact the details of your offer.
Has the seller obtained a professional home inspection report?
If the home seller has already obtained a professional home inspection report, that is a very good signal of a motivated home seller. However, even if the home seller has not had the listed home professionally inspected, you should include in your purchase offer a contingency clause making the purchase contingent on the approval of your own professional inspection report. The results of your professional inspection report might provide additional reasons to negotiate with the seller if there were undisclosed home defects.
What additional information should I know before buying this home?
This is an open-end question. A good realty agent will, without even being asked, will inform where the best school districts are located, what local developments are planned, what zoning changes are expected, how long the property has been listed for sale, and if there are any adverse outside factors affecting the property you are considering for purchase.
Knowing all you can about a prospective home, not only helps you decide if it’s the home of your dreams, but what offer to make as well. Though the process of making an offer on a property may seem stressful, your diligence will pay off when you finally find a house to call home.