You would not be alone in considering the purchase of a townhouse. After single-family detached homes, townhouses are the most widely chosen type of housing in the United States, as the National Association of Realtors (NAR) reported. Buyers under the age of 30 are the ones who buy them at the highest rates.
Although purchasing a townhouses for sale London Ontario is similar to a single-family home or condominium, some key distinctions remain if you’re in the market for a smaller home, whether as a primary residence, vacation getaway, or because of a desire to downsize; this guide is for you.
A real estate agent may be helpful, so keep that in mind
When looking for a house, real estate agents can be helpful in many ways. Your agent can complete all the necessary paperwork, negotiate on your behalf, and inform you of the local market conditions and median townhome prices.
It’s important to remember that most agents get paid by the commission. Inquire about their commission rate upfront, so you know what to expect. However, in most cases, the real estate commission is paid by the seller. Divided between the agent representing the buyer and the agent representing the seller.
Learn what is included in your HOA dues
Check the HOA’s fees, services, and coverage details before deciding on a townhouse. Due consideration must be given to the HOA dues as part of the overall purchase.
A bidding war may break out, so make sure you’re ready
With more and more first-time buyers interested in townhouses for sale London Ontario, you could find yourself in a competitive bidding situation. If this occurs, it is essential to set a maximum price that you are willing to pay beforehand and not go over that. Even if you lose the bidding war, it’s important to remember that condo and town home prices tend to decline faster and more than single-family home prices during real estate downturns.
Mortgage rates vary widely, so it pays to compare shops
Get mortgage quotes from at least three institutions before making a final decision. Over a loan’s term, a low-interest rate can mean savings of thousands of dollars. Remember that the lowest rates go to those with the best credit and the lowest debt in their income.
Having your loan pre-approved is a smart move
Homebuyers should always get pre-approved for a mortgage before shopping for a house.
The benefits of being pre-approved are numerous. For one thing, it helps you determine your budgeting limits, and second, it gives you an advantage over other buyers. In addition, it can be used to foretell whether or not the HOA fees for a given townhome are affordable. When determining a loan amount, HOA dues must be included in the overall cost of the property. Therefore, if you are looking to buy at the top of your price range, a high HOA fee could prevent you from qualifying.
Inspect your house
Houses for sale London Ontario should have home inspections just as much as single-family homes.
Even if your HOA takes care of the exterior, you should still have it inspected thoroughly on the inside. And if there are any exterior issues, get them fixed before closing the deal. She claims that, in many cases, the HOA will take care of any exterior issues. If they are, the costs to fix them fall on the seller.
The properties surrounding a townhome should be scrutinized. It will hurt the value of your home if you don’t keep these in good condition. Even if you’re good about maintaining things like your roof and siding, your home could still be damaged if your neighbours aren’t.
Conclusion
Buying a townhouse is an excellent option if you don’t want the responsibility of exterior upkeep that comes with homeownership but still want the benefits of building equity and wealth that come with home ownership.