Julianne Krutka
Park Square Realty | 413-297-6718 | julianne.krutka@gmail.com


Posted by Julianne Krutka on 10/5/2017

For the generation that grew up at the height of the subprime mortgage crisis, buying a home is a scary concept. Many young people in the 18-34 age range are dealing with high rent, a poor job market, unpaid internships, and student loans the size of a home loan. Yet, others are finding their footing and realizing that owning a home is advantageous in the long run. If you're thinking of delving into the world of home ownership for the first time here's a crash course in Home Buying 101.

Figure out your finances

You should be an expert at you and your significant other's personal finances if you are thinking about buying a home. The first thing to look at is your income and expenditures. Put the following information in a spreadsheet:
  • Total monthly income
  • Total monthly expenditures (bills, gas, food, etc.)
  • Total monthly savings
  • Total savings and assets
  • Credit and FICO score (request both of these online)
When crunching these numbers you should (hopefully) find that your income is higher than your expenditures and your savings should account for most of the difference. If your savings is lower than it should be, you either missed something on the expenditures list or you are spending more than you should be if you want to buy a home. Down Payments Down payments on a home, post-financial crisis, range from anywhere between 0-25 percent of the price of the home, 20 being the median. A down payment ideally†shouldn't break your savings in case you have any unforeseen expenses once you buy your home. Moving is time-consuming and can be pricey, so you'll need to account for this in your finances.

Lock Down Your Financing

There are several types of mortgages†that you'll need to choose from, and you'll want to learn†about fixed and adjustable†mortgage rates. This information should be informed by your long-term plans. Are you looking for your†first home or your forever home? If you don't plan on fully paying off the home you might look for a low, adjustable rate while you earn money. But if you want to stay in your home until it's paid off, a fixed rate might be better for you.

Finding and buying your home

Once you've determined your price range, start thinking about things like location and the kind of home you can afford. If you're handy with tools and have the time, it might be in your best interest to buy a home than needs some work at a lower cost. If you'd rather put in more hours at work, go with the home that needs less work and save money that way. Depending on whether or not you're in a buyer's market or a seller's market, the ball can be in your court or the seller's. In a seller's market, which is more likely today in many parts of the country, the seller will have more leverage in negotiations, including closing dates and move-out dates. Due to high competition, you should also be prepared to miss out on some offers. But be patient, and you should find the home†you're looking for.  





Posted by Julianne Krutka on 8/31/2017

After a home seller accepts your offer on a home, the next step usually involves a home inspection.

At this point, you'll hire a home inspector who will walk through the home you'd like to buy and offer expert insights into the residence's strengths and weaknesses. Then, you'll be able to assess potential issues with a home and determine whether to move forward with a home purchase.

A home inspection can be stressful, particularly for a first-time homebuyer. Lucky for you, we're here to help you take the guesswork out of home inspections.

Ultimately, there are many questions to consider after a home inspection is completed, including:

1. What did the home inspection reveal?

A home inspection offers unparalleled insights into a residence. It enables you to look beyond a house's surface and find out whether major repairs will be required both now and in the future.

Hiring an experienced home inspector is paramount for homebuyers. With an experienced home inspector at your disposal, you'll be better equipped than others to identify "hidden" problems within a house.

Also, don't forget to review a home inspection report closely. With this information at your disposal, you'll be able to understand whether a residence meets your expectations.

Be sure to consider the long-term value of a property as well. Remember, a home that you plan to purchase should be able to serve you well for years to come. But if you encounter myriad home issues during a property inspection, you may want to consider rescinding your offer on a residence and restarting your search for the ideal house.

2. Are there major home issues?

As a homebuyer, it is important to be able to identify the differences between major and minor home issues.

For example, if there are tiny cracks and chips in the paint on a kitchen's walls, these issues are minor. In fact, you may be able to repair such issues quickly and effortlessly.

On the other hand, an old, inefficient furnace can cause major headaches. Without a properly functioning furnace, you may struggle to heat your home in winter. Meanwhile, it may cost several thousand dollars to replace this furnace.

If you encounter problems with a residence during a home inspection, consider the costs associated with these issues. By doing so, you'll be able to determine how much you may need to spend to correct such problems and can proceed with a home purchase accordingly.

3. What should I do next?

An informed homebuyer will be equipped with the knowledge and insights needed to make a great decision.

Consider the problems that were discovered during a home inspection. If you can fix home issues without having to commit substantial time and resources to complete various home maintenance projects, you may want to consider moving forward with a home purchase.

If you encounter major home issues, you can always ask a home seller to perform home repairs. Or, you may want to remove your offer on a home altogether.

Working with a real estate agent is ideal, especially for homebuyers who want help with home seller negotiations. With assistance from a real estate agent, you should have no trouble determining how to proceed after a home inspection.




Categories: Uncategorized  


Posted by Julianne Krutka on 7/27/2017

Before you even set out to buy a home, you may think that you need to look at a magic number of homes in order to find the house thatís right for you. Thereís always a fear among buyers that they didnít look at enough homes before settling on one. The number of homes that you look at is up to you. There is no magic number that will dictate finding the perfect home. The most important thing is to trust your own intuition. In A sellerís market, you also may not have much choice. When inventory is low, if you find a home you love, youíll need to move to make an offer on it! 


The Average Buyer


People looking at condos take between 1 and 3 months to find the property thatís right for them. Those looking for single family homes tend to take a bit longer- between 3 and 6 months to find a home. Buying a traditional house seems to spark more questions and more uncertainty, which leads buyers to take their time to find what theyíre looking for.


Know Where You Want To Live


Before you start your home search, you should have a good idea of where you want to live. Have a list of cities, towns, and neighborhoods narrowed down to make your search a bit easier from the start. Take a ride around potential neighborhoods and get a feel for them. See the stores, restaurants, and nearby parks to really understand the area. 


Match Your Lifestyles


Where you choose to live has a lot to do with your lifestyle. Think of the following:


  • Where your friends live
  • Where your family lives
  • Where you work
  • What you do for fun


Whatever you love and whatever you love to do should be a factor in your home search. If you love the beach, you donít want to be a three hour drive away if you can help it. You also donít want a 2-hour commute to work. Find the balance to make your life happier in the new space you choose.      


Make A List


It sounds simple, but making a list of what you must have, what youíd like, and what would be a bonus can really help you in your home search. This holds true whether you look at 2 homes or 50 homes. The number of homes that you look at isnít as important as your needs and wants. Buying a home is a huge investment and you need to be happy with your decision. While itís not completely advisable to buy the first house that you see, if you have a good idea of what you want in a tough market, itís best to put an offer in.





Posted by Julianne Krutka on 5/25/2017

Buying a home will be the biggest purchase of your entire life. Itís not a decision that anyone should or will take lightly. You want to buy a house that you can live in. Sometimes, itís even best to think of your home purchase from the perspective of others. Ask yourself, ďWould other people want to live here?Ē When it comes to your home, the financial buzzword is ďequity.Ē As the buyer, you want to be able to build some equity into your home so that if you should choose to sell it, youíll make a profit. Whether your home is only meant to live in for a few years until your family outgrows it, or you think itís going to be a forever home, life happens and you donít want to be stuck with a home that you must take a loss on. Keep these aspects of the home in mind when you are ready to buy: Size Most people search for 3 to 4 bedroom homes. Whether they are married and want to have children or just need extra space for another baby that is on the way, families typically look for places where they have room to grow. The number of bathrooms in a home is also key. Families donít want to share one bathroom among 4-5 people. These factors are even more important than the actual space available in the home by square footage. On the flip side, you donít want your home to be too big either. Larger homes arenít as energy efficient and can cost more to maintain. Know that there is a ďsweet spotĒ for your square footage. Usually this is somewhere between 1,000 and 2,000 square feet of living space. Room To Expand Look at the home to see if there is room to expand. Perhaps you need another bathroom, but thereís some space to construct an additional half bath. This factor of expansion is key when it comes to a home or property. Look Past The Appearance Things like paint colors, floors, carpets and other aesthetics arenít as important as the big things when it comes to buying a home. You can easily change these without much cost or effort on your part. While everyone loves a move-in-ready home, donít let a little paint separate you from a home that you love! Curb Appeal Helps While itís easy to fix some things like the color of a home or the shrubs, find your vision to give the home youíre about to purchase some curb appeal. If you can see past the imperfections and make your home your own from the outside in, your home will be attractive. Thereís plenty of things you can add and fix from doors to landscaping to paint to a new mailbox. All of these can give your home some serious curb appeal. Sound Structure If the structure of the home is not in good condition, youíll face many problems down the road. You want to avoid costly repairs by ensuring that you buy a home without serious structural damage or wear. The most important part of a homeís structure is that of the foundation. If a home has a cracked foundation, itís going to cause some problems. Be sure that you hire a reputable inspector and attend the inspection so you know exactly whatís going on with the home you are about to purchase. You can prepare yourself for any problems or issues this way, and make a decision from there. A home that has a good structure to start will undoubtedly continue to help you build equity in your purchase.





Posted by Julianne Krutka on 4/6/2017

Buying a vacation home is something that many dream of, but for some itís not just a dream. And itís certainly not something that is only for the rich and the famous. Maybe you have been saving for one your whole life, got a large bonus at work that you want to use as a down payment, or are just going out on a limb; there are several things to consider before taking the plunge and buying a vacation home. Cost: First and foremost, what kind of financial position are you in? Are you able to put down 20% and if not will you be able to afford the potential higher interest rate that goes along with less money done? If you are planning to buy farther away, can you afford the airfare cost for as often as youíd like to spend there? Can you afford the inevitable maintenance that will be necessary? You certainly do not have to be a millionaire to purchase a vacation home, but itís important to know what you can afford and cannot afford. Location: Do you want to buy a vacation home that is within a couple of hours from your home? Or would you rather buy one a plane ride away that may be in a location thatís warm year round? Or do you want to buy a home in another country? This is certainly something that should be determined before beginning your search. Condo vs. Single-Family: Do you want the privacy of a single-family home or do you want the amenities that come along with living in a condo? There is a level of privacy that comes with owning a single-family home versus a condo, as well as there are condo fees to consider. This decision may not matter much to you, but itís important that everyone involved agrees on the type of home they would like to buy. Rent It: Do you plan on renting out your vacation home when you are not there? Are you looking at homes in locations where renting is possible? Can you afford the home if you do not rent it out? If you canít afford the home without renting, how often do you need to rent to be able to afford it? Do you want the hassle of renting it? Itís important to consider this possibility even before you begin your house hunt. Buying a vacation home is extremely exciting, but itís a large investment. It should be well thought out and planned out. But, once you have those details worked outó go out and buy the vacation home of your dreams!