Buying Real Estate in Boulder
Deciding to Buy Real Estate
For most people, the decision to buy real estate is the biggest financial investment they will ever make and has the potential to have the most impact on their quality of life and net worth. Finding the right Boulder real estate agent to help you navigate the home buying process is key and I am here to help.
Is Now the Right Time to Buy?
Many people buying their first home are familiar with renting. In the Denver-Boulder area rents keep going up. For tenants this means their money is going to their landlord, never to be seen again. When you own your own home you, not the landlord, are the beneficiary of any increases in value and your monthly payment goes to pay down the principal and interest on your loan, which means you gain equity with each payment. The Boulder, Colorado real estate market is strong right now and home prices keep appreciating. For most people who are currently renting, this is the right time to buy.
Experienced home buyers are familiar with the benefits of home ownership. If you’re moving in from out of state or another part of Colorado and are planning on staying here for several years, it is most likely a wiser choice to buy rather than rent. With a fixed rate mortgage your monthly payment will rarely go up significantly from year to year, as is common when renting. Usually any increases are simply a reflection of an increase in the county assessor’s valuation of your property.
On the other end of the spectrum are people who are looking to invest. For all the reasons why renting is generally an unsound long-term financial decision there are just as many reasons why owning investment properties and renting them out to tenants is a sound long-term financial decision. As the owner and landlord, the tenants’ rent payments go toward paying down your mortgage and very often there is still enough money left over to make a profit each month (in addition to the equity you gain on your house). That being said, not all investment properties are created equal. An investment property in the wrong area or in need of expensive repairs or renovations may indeed turn out to be a very bad investment. That is why it is so important to have a sharp, knowledgeable and experienced Boulder real estate agent helping you navigate the Boulder County real estate market and guiding you through the process of selecting, inspecting and closing on the right properties for your needs.
Preparing to Buy
I know looking at homes is very exciting and fun. After all, that is big part of why I decided to become an a real estate agent in this beautiful city they call Boulder. J But before you start looking at properties it is important that you lay the foundation for a successful real estate purchase.
If you are financing your home purchase (this applies to the vast majority of buyers) a good first step is to prepare a file of all the documents you may need to provide to your lender. The following list includes the basics, but many others may be needed depending on the circumstances:
- Bank account balances
- Credit card balances
- Auto loan information
- Recent pay stub from your employer
- Tax returns (for the previous two years)
- Copies of leases (if you earn income from investment properties)
- 401K statements, life insurance, stocks, bonds, and mutual account information
Check Your Credit Score
If you are financing a home purchase with a mortgage your credit score will have a large impact on the interest rate of your loan, the type of loan you can get and ultimately what you can afford to buy. It is recommended to check your credit score with an experienced local lending institution (Give me a call for recommendations) to determine the price range of home you can afford. The lender will research your credit ratings from the three credit reporting agencies: Equifax, Experian and Trans Union.
I know many knowledgeable, experienced lenders who specialize in residential, construction, and commercial and investment real estate loans who can help guide you through even the most complex and atypical of loan processes (e.g., VA and FHA).
Carefully Monitor Your Finances
Your financial decisions during the home buying process (e.g., buying a car or opening a new credit card) will have an impact on your buying power. It is not a good idea to make any large purchases, career changes or shift your financial assets while looking for a new home. By avoiding these you will show you are in a position of financial stability and that mortgage institutions can feel secure in lending to you.
Choosing the Boulder Real Estate Agent Who’s Right for You
Whether this is your first time buying a home or you are an investor who has purchased numerous properties it is important to have a smart, knowledgeable, experienced and professional real estate agent on your side. The best real estate agents understand they are advocates and advisors to their clients; not only are they navigating them through the process but teaching them along the way. As your Boulder real estate agent I will help you with the following:
- Identifying properties that meet your needs by actively listening to your wishes, concerns and priorities (whether explicitly expressed or otherwise) and using knowledge and connections to locate non-MLS properties that are not publicly known but may be a great fit
- Provide you with information, education and guidance to make sound investments that meet and exceed your goals
- Negotiate on your behalf with proven strategies that lead to success even in highly competitive situations
- Work with local lenders who offer exceptional service and proven reliability, in order to close without delays
- Once under contract, providing you with proactive and detailed communication throughout each stage of the due diligence process
- Guide you through the due diligence process with inspectors and specialists who help inform, educate and answer all of their questions
Boulder real estate agent Ashley Newell has the knowledge, experience and dedication to her clients to get you into the right home for your needs. As a buyer you are not responsible for paying your agent’s commission (the seller is) so there is no need to hesitate. Call your Boulder real estate agent Ashley Newell today!