Buying a Washington DC Home - Is it time to Move Up or Stay Put?
Due to price reductions and record low interest rates, you may be asking yourself if you should be buying a Washington DC home, or stay put where you are. Yes, you’ll be getting more for your money, and pay less interest over time. And with so many homes on the market, you may find your dream home at deep discount.
Before you start mentally decorating that dream home, however, you should consider what “moving up” means for you. For some buyers, moving up means a better neighborhood; for others it means a bigger home, with more space or amenities.
Here are five questions you should be asking yourself before buying a Washington DC home:
- Do you have enough equity in your home to sell it? If you don't know, call your lender and find out. Having more equity in your home enables you to sell it for a profit, instead of a loss.
- Can you really afford to move up? How is your financial situation – and is your job stable? Some jobs are more stable than others. You do not want to take on a new financial burden if you fear that there may be downsizing at your company. Are you a two income household? What would happen if one of you were to lose your job? Can you really afford to move up? This means having at least 20 percent to put down, being able to pay off your current mortgage, and not having to lay a finger on your retirement funds to make the new purchase.
- Are you willing to take a chance? Do you want to move during a market that is still seeing home price declines? Yes, you might be able to get into your dream home, but are you ok with seeing your new home's value decline in the months and years to come?
- What is pricing like for your current neighborhood? You may wish to get a comprehensive market analysis to find out the current value of your home as well as the specifics on your neighborhood competition. Michelle Buckman can help you with that.
- Why do you really want to move? Are you an empty nester who wants a simpler life by downsizing to a smaller home, condo, or townhome? Is your family outgrowing the size of your current home? Do you want to move to a newer neighborhood? Consider what it is that you really want.
After asking and answering these questions, you may find that you are interested in buying a home in Washington DC. You’ll want to contact Buckman Realtor, who has the experience you need to find and buy that dream home. Representing W.C. & A.N. Miller, a Long & Foster Company, and Christie's Great Estates properties in the Washington DC area, including Chevy Chase, Northwest Washington DC, Capitol Hill, and the Trinidad DC neighborhoods, Michelle works with a full range of clients, from empty nesters to first-time homebuyers.