We may be biased, but we at Franke Realty believe that our little segment of Texas, here in South Padre Island, is the best place in the world. We wake up every day, eager to see what adventures may come our way and we go to sleep every night safe and secure in the knowledge that there will be more to come the next morning. South Padre Island is fast becoming one of the most popular places in the nation and if you have been considering making the move, perhaps renting a little place near the beach, and seeing what all the fuss is about, we would like to extend an invitation to do more than just dip your toes in the water! We think you should take the plunge into deeper waters, purchasing a home you can call your own, staking your claim on the land that will host cherished moments and barbecues on summer holidays and this guide to the long-term benefits of buying a home in South Padre Island instead of renting will give you the gentle nudge you need!
Long-Term Benefits Of Buying A Home
It can be scary buying a home, knowing that you will be responsible for any expenses that come along with it, but the financial benefits can outweigh the risks! The mortgage costs tend to stay on an even keel, only rising a few bucks at a time as interest rates change and property values increase as opposed to renting a home. You will be at the mercy of landlords that only guarantee the rent for a year at a time, generally raising the price every year when the lease expires. Sure, you can move into another rental, but the costs associated with moving can be prohibitive, and who wants to uproot themselves every year?
Additionally, purchasing a home exposes owners to tax benefits you just won’t receive when you rent, meaning you are basically throwing your money away! Hefty tax refunds can allow for family vacations to exotic spots (not that there are many better spots than right here at home!) and even the things you buy for your home can be used as write offs. Finally, 30 years (or 15 years for those who are impatient and purchased a shorter-term loan) may seem like a long time, but at least you are building towards something, not using your money to pad someone elses pockets!
Every dime you put towards building your nest goes into your own future and one day, you will wake up knowing that your beautiful home is yours forevermore. You may be wondering, however, what if you aren’t sure you will be able to stay in one house forever? Well, South Padre Island is a vacationer’s paradise and if you don’t want to sell you can always become a landlord, renting it out and filling your retirement coffers at the same time!
All About the Family
Of course, money is important, but family is even more so and the long-term benefit of owning your own home repays you in a multitude of ways as you build memories that will last a lifetime. Bringing home your newborn to the nursery you painted and designed in loving detail, taking pictures on the doorstep of your front porch each first last and day of school, holding graduation parties in the summer months, and hosting a wedding in your backyard any time of the year. You could do all of this in a rental home, but the confidence of knowing that home will always be there for the children we love without end is a priceless benefit that can’t be overrated! Making friends with your neighbors, watching their own kids grow up and out, feeling safe in the realization that somewhere along the way they became friends, no, scratch that, they became family and are an important part of your existence! Lifelong friends are a treasure that is worth far more than all the gold in Fort Knox and although you will have many throughout your life’s journey, having them close at hand is just another long-term benefit to owning your own home!
Pride and Stability
And finally, the pride you feel when you look around at all you have built within the walls of your home is a boon to your confidence. Your home reflects you, and the colors you paint, the flowers you plant, and that giant soaking tub you added to the primary bath will serve you well in ways that renting a home never could do. You have created this space to comfort all who enter and the stability it has brought to you, your family, and your friends promises to ensure a lifetime filled with happiness. If we have convinced you today that owning a piece of South Padre Island is the only way you want to live, give us a call today and let us find the forever home that will bring you joy, happiness, and contentment.
By asking the right questions, and knowing exactly what your needs are, you can find the right loan for you. There are certain approaches that you can take while mortgage shopping that can cost or save you money. Learn how to avoid financial stress and be sure in your decision-making below.
It is still true that the better qualifications you have, the lower your interest rate will be. However, there are mortgages available for almost everyone; it’s the interest rates or the down payments that vary.
Before speaking with a lender, know what monthly dollar amount you feel comfortable committing to. Then when you discuss mortgage pre-approval with your lender, it is easier for you to determine the monthly amount and what value of home the monthly amount translates into. Do not put yourself in the position where you will be paying more each month than you intended simply because the dream home requires it.
Do your research on the types of mortgages available to you and find the one that best suits your needs. There are a number of considerations to be made in terms of finding the best mortgage for each individual:
- What type of market are you in? Are the interest rates falling or rising?
- Do you want a fixed mortgage rate, where you will always know what your payment is going to be?
- What are your long-term goals? Do you intend to resell the property? Do you only need the mortgage for a short time?
Not all agents work the same way. The most important attribute of a real estate agent is that he/she is well connected to the real estate industry. He/she should know the market and provide information on past sales, current listings, his or her marketing plan, and at least 4 solid references. In addition, you also want to look for an agent that is honest, assertive, and one that best understands your needs.
Try to go with a local agent. They can better serve your needs because they should be more familiar with the local market conditions, local prices, and what’s hot or not in your community.
The best home seller is one who is highly motivated. A highly motivated seller is more likely to sell at a price that is less than his or her house is actually worth. And it matters that you find out why. Learning the reason why can help you get the price you want and help the seller get what they want: a timely sale.
When given the opportunity to meet with sellers, ask them why they are selling. The reason could be anything, such as a job change to a new location or financial problems. If you can solve their problem, whether it is cash related or time related, do so. For example, if the sellers are highly motivated because they need to move quickly, give them a fast sale – and a lower price. If you can make an offer, even a low one, that gives them cash in a short time, they are more likely to accept.
There are also some sellers that you should avoid. Not every home seller is as genuinely motivated as they make themselves to be. Some possible hints:
- they stall on having the home appraised or inspected
- they are unable to clear up liens against their property
- they do not own 100% of their property
- they push back the move-out date
- they do not have a replacement property or back up plan
It is impossible to find the perfect seller. But it is possible to find out which sellers are legit and which ones aren’t.
It’s important that you choose an experienced agent who is there for you. Your agent should be actively finding you potential homes, keeping you informed of the entire process, negotiating furiously on your behalf, and answering all of your questions with competence and speed.
First, find an agent who represents you and not the seller. This is beneficial during the negotiation process. If you are working with a buyer’s agent, he or she is required not to tell the seller of your top choice. In addition, he or she is also focused on getting you the lowest asking price.
Also, when you use a buyer’s agent, you will see more properties. Not only are they plugged into their Multiple Listing Service, but they are also actively finding homes that are listed as FSBO, or homes that sellers are thinking about listing.
Don’t go on a spending spree using credit if you are thinking about buying a home, or in the process of buying a new home. Your mortgage pre-approval is subject to a final evaluation of your financial situation.
Every $100 you pay per month on a credit payment could cost you about $10,000 in home eligibility. For example, a car payment of $300/month could mean that you qualify for $30,000 less in a mortgage.
Even if you have accumulated enough savings, you should consider not making any large purchases until after closing. The last thing you want is to know that you could have purchased a new home had you curbed the urge to spend.