When you went to purchase a home or condo in the past -- you were warned by your Realtor - Caveat Emptor - "Buyer Beware". In the past this statement usually referred to condition of the property or negotiation practices or with reference to title of the property and making sure you got a closing table with a property free and clear of liens and other issues.
Nowadays "Buyer Beware" has a new connotation:
Buyer Beware ---- In case you haven’t heard we are in the midst of one of the best Buyer’s markets we have had in years or some say decades. Both national and international Buyers are flocking to Miami. In fact the latest data we have seen shows in the last six months we have seen an inreased flux of Buyers from Russia, India, Canada, Great Britain, Italy, France and other European Countries as the dollar has weakened against foreign currency. Domestically Buyers who have been waiting on the side lines are now lining up and getting to purchase properties at up to 20-50% off cases, what they would have paid 2-3 years ago in the high.
But even saying this, if you have been waiting for the perfect deal, there are things you can do now to have even better credit when you are finally ready to purchase.
Take the time now and follow my top 12 ideas to increase your Buying Dollar:
1) Pay off your debts
2) If you can’t pay your debts off try consolidating them to the lowest credit card interest rate you can get.
3) If you can only afford 10% downpayment – think about asking your parents for help (this requires a gift letter If you can get 20% down your mortgage interest rates will be much better and you will avoid PMI.
4) Watch those interest rates – waiting a year thinking you may be able to purchase a better deal than today may not be in your best interests, if the interest rates have increased which will end up costing you more in the long run.
5) Figure out what you can afford now so that you don’t overextend yourself when looking at properties.
6) If you qualify – take advantage of first time buyer programs
7) If you qualify – take advantage of government assisted programs
8) Buy an investment property with a partner – and try to find a property that is already generating an income (tenants)
9) Borrow against liquidated securities (stocks, bonds, mutual funds) or against a 401 K retirement plan or insurance policy.
10) Using a mortgage with a longer amortization (i.e. 30yrs as opposed to 15 yrs) will lower your monthly payment.
11) Ask the Seller to help pay closing costs
12) Ask the Seller to carry a second mortgage
Send us your tips and we will be sure to post them on an upcoming blog!!!
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