Picking the Right House - For You and For Resale

If you are new to the home buying process, there is something you need to know immediately. Buying a home is an incredibly personal and emotional process. Yes, some people buy a home as an investment with no emotional attachment and some buy out of desperation because they are relocating and need to make a decision quickly. But for the overwhelming majority, a home purchase should follow a slow, methodical approach.

Just like impulse buying at the grocery store is a big no-no for both your wallet and your waistline, buying a home impulsively can have devastating results down the road if certain "rules" about buying real estate aren't carefully examined and weighed.

Rules for buying a home:

The floor plan should be realistic for your current and future family use. Seriously consider how long you plan to be in your home and the changes you expect your family will go through. Making too many structural changes (tearing out walls, putting in additions) could be expensive adjustments that may not show a return on your investment if your intention is to move on within 5 to 7 years.

Stay away from corner lots (See Jim Crawford's Post) or those on through streets. Builders love to push corner lots. Often times, it is located at an entrance to a community and is a higher traffic area. It is also a harder property to landscape. Also, a quiet two lane country road which runs parallel with another busier road could very well end up a high traffic road in growing areas. One day it could end up being a 4 lane highway. Check the county's comprehensive master plan (see below).

If there is green space behind your home, check your county's comprehensive master plan. Nothing lasts forever and that's especially true in growing areas. Master plans are usually planned 30 - 40 years out and will indicate proposed plans for land. Remember, if it is privately owned (as in farmland), that too can change at any time.

Buy the smaller, more modest home in an area of larger homes. This is a common term in real estate - progression vs. regression. Larger homes usually increase the value of the smaller homes in a community exponentially.

Avoid basements without walkouts or walkups. If the home is perfect in every respect this may be something you'd feel compelled to do without. However, it is clearly a benefit to sell a home with a walk-out or walk-up basement. Buyers often refer to a basement without a walkout as a "cave" or dark and gloomy. There is also a significant difference in appraised value when purchasing a home with a walkout. Think RESALE.

If buying from a builder, pass on the overpriced options and add them yourselves over time. Instead, have the builder buy down your rate and/or contribute to your closing costs. Add your own equity by adding things like granite, stainless steel appliances, tile floors, decks, and finished basements. You'll save tens of thousands of dollars and get exactly what you want when you can afford it.

A cul-de-sac lot is a premium lot for a reason. Privacy, safety, and curb appeal - this is always a plus.

Don't fall in love with furnishings, décor, or paint. Fall in love with the floor plan, the lot, and the neighborhood. These are things that can't be changed easily. You are not buying the seller's armoire so become emotionally detached to the "stuff" and pay close attention to the home.

Keep in mind the age of the house systems, windows, and roofs on an older home. If this is a home you will likely own for only 3 to 5 years, seriously consider how much you'll have to spend to update these expensive items. Buying an 18 year old colonial with original house systems could become a very expensive venture and likely one your next buyer will benefit from a lot more than you will.

Walk around the neighborhood at various times of the day and week. There's nothing wrong (and something I always encourage) to walk around the neighborhood and pick up a conversation with some neighbors. Watch the kids as they get off the bus and play. What are residents doing on the weekends? Nothing will give you a better sense of the community than to actually participate in it!

Carefully read over your HOA documents and understand they are likely to change somewhat over time. In the Commonwealth of VA the Property Owner's Association Act allows any purchaser of residential real estate the opportunity to review Homeowner's Association documents which include covenants and restrictions, as well as, by-laws of that particular community. It is imperative that you carefully review these documents and understand their implications. Unexpected reserve funds for future plans, liens on the property, noncompliance, or even a lawsuit against the association are all very possible realities you must be aware of.

Contact your local police department and ask for crime statistics for that particular area. All criminal statistics are matters of public record. You are entitled to know the safety of the area in which you intend to live.

Even if you do not have school-aged children, research which schools are highly ranked in your area. Remember that schools change and are rezoned cyclically. However, a superior school with an exceptional reputation goes a long way with regard to resale value.

Observe morning and evening rush hour traffic patterns to and from the neighborhood. If you are concerned about your commute to work, venture out during rush hour to monitor traffic flows.

Identify the proximity to shopping, houses of worship, entertainment, dining, cultural events, public transportation, hospitals - anything that is of relevance in your day-to-day living. Remember, anything that will enrich the quality of your life and is important to you should be easily accessible.

Hire a professional home inspector. Never buy a home, even a new home, without the benefit of a professional home inspection. Your eye can only detect so much and unless you are willing to take a chance on one of the largest purchases of your life, it's worth the very small investment.

Don't forget to work with a Realtor® with experience and references. Contracts, disclosures, disclaimers, default, deadlines, notices, rights of rescission, walk-thru items, earnest money, title orders, negotiations, scheduling....this is just a small part of the real estate process. Hire someone with experience, someone who is accessible, and accountable. Lastly, remember to work with an agent who will represent you 100% of the time without compromising you in any way. An agent also representing the seller cannot do this.

Irene Morales Ward, Northern Virginia Real Estate