We all want to get the best which is why we all prefer to purchase new homes. But in purchasing a new home, there are a few issues and questions to be answered before that major decision can be made. There are many home buyers who would not be bothered to spread their financial tentacles beyond their limits just for the sake of satisfying their desires and wish for a well conducive home, either for their private or for commercial purposes.
For some home buyers with a desire to occupy something better than their current home, there are quite a number of questions to be answered before deciding to proceed or back off in the race to own a new home.
- If you have a home, the most important question to ask yourself is “Is there is a need for you to sell the old house to get a new house?”
The question is quite logical because there is a need to consider the cost of purchasing a new home. You also need to consider your budget if you would be able to maintain both houses or if there is a need to sell the old house.
- The second begging question that should be answered is “Do I have the purchasing power?”
The financial capacity is also very important because, buying and selling require the legal tender to purchase, insure etc. Investors of affluent personality may not see this as a problem because of their financial capability.
- The monthly income and expenses from the home should be considered
This is quite important in order not to run at loss or go bankrupt. The monthly income i.e. (rent income) must be greater than the expenses in order to cope with such investment because factors like maintenance will surface and I am sure you know maintenance and repair cost lots of money in Los Angeles, Riverside County, San Diego County, San Bernardino County, and most definitely in Orange County, California.
Move forward with your decision You must keep at the back of your mind that, anyone envisioning having his home for rent must be battle ready with the tenants when it comes to payment, and prepare for stress because you can be called at any time to attend and resolve issues that may not be going well in the home. Also be responsible to be a patient and good listener to avoid issues you’re your tenant.
- Choose a tenant wisely
This is a preventive measure to get rid of tenant stress and frustration. It is advisable to go for tenants who will pay less without giving you trouble than to go for a tenant who can afford a higher payment but will demand your last energy.
- Research tax consideration.
This must be critically considered because failure to comply with the necessary tax allocated, may eventually lead to forfeiting such home property. In order to prevent this, the necessary research must be made on tax-related issues and having the assurance that your account weight can cope with the tax demand. It becomes easy and convenient when all these issues are properly addressed and sorted before the home acquisition is made.
