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5 Steps to Finding Your Next Home | Halifax Home Buyers Guide

Whether you’re a first-time buyer or a seasoned homeowner, shopping for a new home can feel daunting. In fact, 56% of buyers said that “finding the right property” was the most difficult step in the home buying process.[1]

Buying a home is a significant commitment of both time and money. And a home purchase has the power to improve both your current quality of life and your future financial security, so the stakes are high.

Follow these five steps—and complete the corresponding worksheet offered below—to assess your priorities, streamline your search, and choose your next home with confidence.

The first step to finding your ideal home is determining WHY you want to move. Do you need more space? Access to better schools? Less maintenance? Or are you tired of throwing money away on rent when you could be building equity? Pinpointing the reasons why you want to move can help you assess your priorities for your home search.

 

Don’t forget to think about how your circumstances might change over the next few years. Do you expect to switch jobs? Have more children? Get a pet? A good rule of thumb is to choose a house that will meet your family’s needs for at least the next five to seven years.[2] Be sure to set your goals accordingly.

Many financial professionals recommend following the “28/36 Rule” to determine how much you can afford to spend on a home. The rule states that you should spend no more than 28% of your gross monthly income on housing expenses (e.g., mortgage, taxes, insurance) and a maximum of 36% of your gross monthly income on your total debt obligations (i.e., housing expenses PLUS any other debt obligations, like car loans, student loans, credit card debt, etc.).[3]

 

Of course, the 28/36 rule only provides a rough guideline. Getting pre-qualified or pre-approved for a mortgage BEFORE you begin shopping for homes will give you a much more accurate idea of how much you can borrow. Add your pre-approved mortgage amount to your downpayment to find out your maximum purchasing potential.

Many financial professionals recommend following the “28/36 Rule” to determine how much you can afford to spend on a home. The rule states that you should spend no more than 28% of your gross monthly income on housing expenses (e.g., mortgage, taxes, insurance) and a maximum of 36% of your gross monthly income on your total debt obligations (i.e., housing expenses PLUS any other debt obligations, like car loans, student loans, credit card debt, etc.).[3]

 

Of course, the 28/36 rule only provides a rough guideline. Getting pre-qualified or pre-approved for a mortgage BEFORE you begin shopping for homes will give you a much more accurate idea of how much you can borrow. Add your pre-approved mortgage amount to your downpayment to find out your maximum purchasing potential.

When it comes to real estate, WHERE you choose to buy is just as important as WHAT you choose to buy.

 

Do you prefer a rural, urban, or suburban setting? How long of a commute are you willing to make? Which neighborhoods feed into your favorite schools? These decisions will impact your day-to-day life while you live in the home.

 

Another important factor to consider is how the area is likely to appreciate over time. Choosing the right neighborhood can raise the profit potential of your home when it comes time to sell. Look for communities that are well maintained with high home-ownership rates, low crime rates, and access to good schools, desired retail establishments, and top employers.[4]

Start with the basics, like your ideal number of bedrooms, bathrooms, and square footage. Do you prefer a one-story or two-story layout? Do you want a swimming pool?

 

Keep in mind, you may not find a home with all of your “wants,” or even all of your “needs” … at least not at a price you can afford. The reality is, most of us have to make a few compromises when it comes to buying a home.

 

Some buyers will opt for a longer commute to get a larger, newer home in the suburbs. Others will sacrifice hardwood floors or an updated kitchen so that their kids can attend their desired school.

 

If you’re faced with a tough choice about how or what to compromise in your home search, return to STEP 1. What were your original goals and motivations for moving? Reminding yourself of your true priorities can often provide the clarity that you need.

 

A good real estate agent can remove much of the stress and uncertainty from the home search process. From setting goals to securing a loan to selecting the best neighborhood to meet your needs, we will be there to assist you every step of the way.

 

And no one has more access to home listings, past sales data, or market statistics than a professional agent. We can set up a customized search that alerts you as soon as a new listing you might like goes live. Better yet, we get notified about many of the hottest homes even BEFORE they hit the market.

 

You might guess that the VIP service we provide is very expensive. Well, the good news is, we can represent you throughout the entire home buying process at NO COST to you. It’s true; the home seller pays a buyer agent’s fee at closing. So you can benefit from our time, experience, and expertise without paying a dime. That’s probably why 87% of buyers purchase their home with the help of an agent.[1]

 

And although we’ve listed it here as STEP 5, the reality is, it’s never too early (or too late) to contact an agent about buying a home. Whether you want to buy today, next month, or next year, there are steps you can (and should) be taking to prepare for your purchase.

 

Contact us today to schedule a free consultation, and let’s start making your real estate dreams a reality!

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The Lodge at Strum Island | Mahone Bay

126 Strum Island Way
South Shore

About The Island:

Welcome to “The Lodge at Strum Island”. Whether escaping the noise of everyday life, or distancing yourself from others - this 10 acre private island was designed with security, seclusion and self-sustainability in mind. Offering its own power source, heat, food and water as well as transportation via boat and docks, with the option for a helicopter. Anyone looking to isolate can for well over a year without leaving the island! The island provides a tranquil surrounding; offering well-manicured landscaping and beautiful gardens, greenhouses, walking trail and thousands of indigenous trees and native plants. The expansive main lodge with 10,000+ sqft of space was built in two phases. The tasteful design combines rustic elements with transitional elegance. Boasting 6 bedrooms all with their own en-suite bathroom and fantastic natural light with beautiful views, a stunning great room with hand carved bar and signature fireplace. Enjoy restaurant quality meals in your massive gourmet kitchen and dining area with butler’s pantry. Relax with a glass of wine in the rose hut while soaking your bones in the hot tub or watching the many species of wildlife from the observation tower - this property offers it all. When it’s time to get back to the mainland, it’s just a mere 3 minute boat ride to the 100 ft wharf, and only another 5 minutes to Mahone Bay. *Inquire for the many other features and highlights of the Island

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Block H2 Highway 3 | East Chester

Block H2 Highway 3
East Chester

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A great opportunity to own 235 +/- acres of land and 6,750 feet of oceanfront. One of the largest pieces of develop-able South Shore oceanfront properties. With spectacular panoramic hilltop elevations, varied topography of rocky inlets and protected deep-water anchorages, as well as wilderness trails through the hardwood forests. This property is just 5 minutes from the Village of Chester and 40 minutes from Halifax. The possibilities are endless.

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20 Ways to Save Money & Stretch Your Household Budget

WE’RE HERE TO HELP

We would love to help you meet your financial goals. Whether you want to refinance your mortgage, save up for a down payment, or simply find lower-cost alternatives for home repairs, maintenance, or utilities, we are happy to provide our insights and referrals. And if you have plans to buy or sell a home this year, we can discuss the steps you should be taking to prepare financially. Contact us today to schedule a free consultation!

The above references an opinion and is for informational purposes only. It is not intended to be financial advice. Consult a financial professional for advice regarding your individual needs.

Sources:

1.    Insurance Information Institute

2.    Department of Energy

3.    Money Crashers

4.    Harvard University

5.    Forbes

6.    Money

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Home Inspection Guidelines

While homebuyers are as individual as the homes they plan on purchasing, one thing they share is a desire to ensure that the home they will call their own is as good beneath the surface as it appears to be.

Will the roof end up leaking?  Is the wiring safe? What about the plumbing?  These, and others, are the questions that the buyers looking at your home will seek professional help to answer.

According to industry experts, there are at least 33 physical problems that will come under scrutiny during a home inspection. We’ve identified the 11 most common of these and, if not identified and dealt with, any of these 11 items could cost you dearly in terms of repair.

In most cases, you can make a reasonable pre-inspection yourself if you know what you’re looking for.  And knowing what you’re looking for can help you prevent little problems from growing into costly and unmanageable ones.

 

 

AN 11-POINT PRE-INSPECTION

 

 

1) Defective Plumbing:

Defective plumbing can manifest itself in two different ways: leaking, and clogging.  A visual inspection can detect leaking, and an inspector will gauge water pressure by turning on all faucets in the highest bathroom and then flushing the toilet.

If you hear the sound of running water, it indicates that the pipes are undersized.  If the water appears dirty when first turned on at the faucet, this is a good indication that the pipes are rusting, which can result in severe water quality problems.

 

 

 

Damp or Wet Basement.

An inspector will check your walls for a powdery white mineral deposit a few inches off the floor, and will look to see if you feel secure enough to store things right on your basement floor.  A mildew odor is almost impossible to eliminate, and an inspector will certainly be conscious of it.

It could cost you $200-$1,000 to seal a crack in or around your basement foundation depending on severity and location.  Adding a sump pump and pit could run you around $750 – $1,000, and complete waterproofing (of an average 3 bedroom home) could amount to $5,000-$15,000.  You will have to weigh these figures into the calculation of what price you want to net on your home.

 

Inadequate Wiring & Electrical.

Your home should have a minimum of 100 amps service, and this should be clearly marked. Wire should be copper or aluminum.  Home inspectors will look at octopus plugs as indicative of inadequate circuits and a potential fire hazard.

 

Poor Heating & Cooling Systems.

Insufficient insulation, and an inadequate or a poorly functioning heating system, are the most common causes of poor heating.  While an adequately clean furnace, without rust on the heat exchanger, usually has life left in it, an inspector will be asking and checking to see if your furnace is over its typical life span of 15-25 yrs.  For a forced air gas system, a heat exchanger will come under particular scrutiny since one that is cracked can emit deadly carbon monoxide into the home.  These heat exchangers must be replaced if damaged – they cannot be repaired.

 

 

 

Roofing Problems.

Water leakage through the roof can occur for a variety of reasons such as physical deterioration of the asphalt shingles (e.g. curling or splitting), or mechanical damage from a wind storm.  When gutters leak and downspouts allow water to run down and through the exterior walls, this external problem becomes a major internal one.

 

Damp Attic Spaces.

Aside from basement dampness, problems with ventilation, insulation and vapor barriers can cause water, moisture, mold and mildew to form in the attic.  This can lead to premature wear of the roof, structure and building materials.  The cost to fix this damage could easily run over $2,500.

 

Rotting Wood.

This can occur in many places (door or window frames, trim, siding, decks and fences).  The building inspector will sometimes probe the wood to see if this is present – especially when wood has been freshly painted.

 

Masonry Work.

Rebricking can be costly, but, left unattended, these repairs can cause problems with water and moisture penetration into the home which in turn could lead to a chimney being clogged by fallen bricks or even a chimney which falls onto the roof.  It can be costly to rebuild a chimney or to have it repointed.

 

Unsafe or Overfused Electrical Circuit.

A fire hazard is created when more amperage is drawn on the circuit than was intended.  15 amp circuits are the most common in a typical home, with larger service for large appliances such as stoves and dryers. It can cost several hundred dollars to replace your fuse panel with a circuit panel.

 

Adequate Security Features.

More than a purchased security system, an inspector will look for the basic safety features that will protect your home such as proper locks on windows and patio doors, dead bolts on the doors, smoke and even carbon monoxide detectors in every bedroom and on every level.  Even though pricing will vary, these components will add to your costs. Before purchasing or installing, you should check with your local experts.

 

 

Structural/Foundation Problems.

An inspector will certainly investigate the underlying footing and foundation of your home as structural integrity is fundamental to your home.

 

 

To sum up, when you put your home on the market, you don’t want any unpleasant surprises that could cost you the sale of your home.  By having an understanding of these 11 problem areas, you’ll be arming yourself against future disappointment.

 

Questions or concerns? Please don’t hesitate to contact us.

 

 

 

 

Not intended to solicit property currently listed for sale.
Copyright Craig Proctor Productions 1998

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