Phoenix Real Estate – The Place To Invest
First-time property buyers in Phoenix must not rush into the market without arming themselves with basic information about the Phoenix real estate business. It is understandable for a first-timer to get all excited about the prospects of making it big as a Phoenix investor. After all, one of the best places in the US to invest in properties these days is Phoenix. Here are some tips that you must keep in mind before you plunge in the market.
Things To Keep In Mind When Investing In Phoenix Properties
1. Check the prices of properties on sale in your area. There are several websites that can give you a general idea on the prevailing prices of homes, buildings and other properties. Get as many prices as possible so you can make a comparison.
2. Identify which of the properties are within your means of paying. There are mortgage calculators that you can use to check what the payment will be. Successful Phoenix real estate investors didn’t start out jumping into investments without determining first if all the payments required were within their means to pay.
3. Get the monthly total of the housing cost. This must include insurance for homeowners and taxes. If you want to know the maximum payment that you will have to make, you can check websites that computes your payment. In some states, you will have to pay for taxes. Insurance escrow will double the amount of payment for your mortgage. Generally, the annual premium will be between $ 477 in some lucky states to $ 1,372 in the unlucky ones.
Determining Your Home Worth
4. Inquire about the amount you are going to spend for payment of closing costs. You must overlook the upfront cost that goes with settling your property. Included in closing costs are origination fees the lender will charge you, settlement and title fees, taxes and other prepaid items. Prepaid items include homeowners’ association fees and homeowners’ insurance fees.
5. Check your budget and focus on properties that fall within the budget. This is basic logic and common sense for a Phoenix realtor. If, for example, you are eyeing for a buy-and-sell investment, like second homes, you must be sure you have included in your budget the costs of renovating a property to suit the market that you have in mind. Second homes are in demand today. Canadians are among the many people on the hunt for properties to consider their home away from home. You need to spend for the renovation of your purchased property to convert into one of the many Canadian second homes in Phoenix.
6. Talk to a Phoenix realtor who can help you get started. This man must know the intricacies of the real estate business in Phoenix and is willing to share this knowledge with you.
7. Always look at the bright side of things and at the bigger picture. Buying a property is an excellent way to get rich. But you must realize that investment maintenance is a tasking job, labor intensive and is very expensive. When problems like repairs, plumbing, appliance breakdown and unpaid bills crop up, you can see your bank account draining if you are not careful.
Maureen has been in the real estate industry for 36 years as an agent and broker/owner of her own company. She prides herself in successful negotiation for both buyer and sellers and in building successful portfolios for investors. She is proud of her Agent friendly office environment that is her own creation and the caliber of real estate agents she has working for her