Well I just got the go ahead from work last night for moving down to the Baton Rouge area in Louisiana (from Ohio). I was looking to rent, but it looks like I might have an easier time finding something that better suits my needs (read wants) by purchasing a starter home (ie under $125k). I do get some money to relocate, and I should be able to use some of that on a down-payment. I also read about a 10% tax credit for first time home buyers (up to $7500, and it is really just an interest free loan, not credit) which would be helpful. I know this is not the best time economically to buy a house, but it might be a good time from a personal standpoint. I don't know how many people have gone through this recently, but I would appreciate any tips you can give me for the whole process, as well as things to look out for/avoid.
Owning a home is better for tax write offs 1. But make sure they will not move you again soon. Prices will be dropping for a while. 2. Shop around for mortgages, plus they are harder to get now with all the focus on fannie and frank. 3. Stay in the area if you can, a hotel or short term rental, to make sure the area you are looking in is to your needs, You are shown houses at certain times, drive by that house at rush hour, after school and at night to make sure its the location and neighborhood you want. Any questions let me know, I was in real estate for 20 years. I know all the tricks of the trade.
I won't be moving out of the area for a while. I know to shop around, at this point I am merely pre-approved though. I'm not sure I will have that much time to ensure I can do all that visiting, lol. It will depend on how much time I can get off work to look. For agent prices, would I want someone flat rate or percentage based?
Actually this is a great time to buy a house if you have the money. Great advice from Greg I'm going through the process right now as well, although I'm moving across town not the country. Good Luck
We have to get together again before you go down to Baton Rouge bro. The only concern I have for you to think about is the fact that you dont know for sure if you will like it down there. Might be smarter to rent at first and make sure its where you want to be. And you absolutely cannot become a LSU fan....
I can't be of much help in the advice column but what I can do is wish you the best of luck in your search and decision.
Good luck, don't believe all the crap you read about the housing market. There's some good stuff out there to be had if you are patient, and do your research. We just moved into a home here in CA, upgraded from a 2 br condo. Prices out here are just outrageous, but all in all, we did okay. I've got two kids, and I know that getting them into a home, with their own bedroom and a backyard is much more important than the 10% drop in housing prices we could see in the next year, so waiting that year was just not prudent. If you are thinking long term (longer than say 5 years), you'll be okay. That $7,500 is a loan, interest free from the govt, not a bad deal at all , you'll pay it back over 15 years @ $500 each year (I'll be claiming the same credit next year since I was technically a first time home buyer). Bottom line is you want to stay there at least two years so that any gain you may receive is tax free. I would think that given it's Louisiana, you could get a better than average deal down there since they are still trying to recover from Katrina. But talk to the locals for the details on the good and bad areas as they know best.
