Budgeting for the Home Buying Process

If you are new to the market then it can be easy to think that the price you will pay when you buy a home is the same price listed on property websites. 

The reason why there can be such a price gap is that the process of buying a house involves many people performing a range of services. Each of these services costs money and almost all of these costs are payable by the buyer.

Don’t Get Caught out with a Blown Budget

To help you prevent blowing your home buying budget and assist you to gauge which house price limits you should be looking at, Advanced Title Company has prepared the following post with some of the more common fees and costs you can expect to pay when buying a home.

Solicitor Costs

The process of buying a house is a very legal one, and this is on purpose. Legal processes are involved to help protect both you as the buyer and also the seller. Because of this, it can become quite tricky to understand and navigate, with many forms and checks needing to be completed in a specific order so that settlement can occur in a timely fashion. For this, you will need to enlist the services of a solicitor. Property solicitors, however, are different from the ones you may see on TV which help with compensation, and accordingly, will charge different rates. Your best bet is to speak with property solicitors in your are to gauge an average cost you should be including in your budget.

Settlement Costs

Given that there is so much technology in the world it would be reasonable to assume that the process of settlement is an entirely electronic one. However, the reality is that settlement still involves a range of people all meeting in the one place to exchange checks, keys, and documents. Each of the people involved will charge a fee, with the majority of these fees being paid by you as the buyer. As an example, if you are taking on a mortgage then your lender will likely charge a settlement fee as will your solicitor. Consider both of these when looking for both mortgage lenders and solicitors. Title insurance in Grand Junction, CO is the best way to protect your investment against any financial claims made against your new home’s title. These could be as a result of a relative who didn’t receive their share of inheritance from the property decades ago, or even a forged signature which is even older. Speak with an expert today at Advanced Title Company by calling (970) 255-7677 to learn more about how title insurance in Grand Junction, CO can protect you and your new home from these and many other issues.

Rate and Utility Fees

As a renter, it can be easy to assume that the garbage truck and person work for free. As does the local council and their employees. However, each of these services and workers comes at a cost, which is included in council rates and utility fees. These fees are charged by the relevant council and are paid by the owner of the property. When buying a home, your settlement costs will need to either include fresh payment to reach relevant council or body or reimbursing the seller for any council or utility costs which they paid in advance.

Inspection Cost

When you look at buying a used car, it’s a smart idea to have a professional mechanic take a thorough look at it, to let you know if there are any obvious problems or indicators of future problems which could result in serious repair costs to yourself. The same goes for buying a property. A property inspector is a qualified professional who will attend your new home and undertake a thorough inspection of both the property and its ground. When enlisting the services of a property inspector, it’s important to note that they can each provide a different level of service. For example, some inspectors will climb up onto your roof to check for broken tiles or any potential leaks, while many more will simply just do a visual inspection from the ground. The same goes for the foundations, whereas some will climb under the home and give the foundations a thorough inspection while others will not.

Protect Your New Investment with Title Insurance in Grand Junction, CO

Available only prior to settlement, title insurance is the best way to protect your home ownership from any claims made against it. To learn more about how title insurance in Grand Junction, CO can protect you or to start the process and take out a policy with a one-time payable fee, speak with Advanced Title Company at (970) 255-7677.