Welcome to the EquityIDHomeSearch.com Blog

2016-12-07 10:58:32
2 Tips for the Luxury Home Buyer

If terms such as Art Deco, Italianate, Federal colonial and mid-century modern are floating around in your head, the chances are good that you’re considering purchasing a luxury home. Knowing the fine points of architectural styles is one thing, understanding the differences between the luxury home purchase process and that of lower-priced homes is something else. There is a huge difference and you’ll need to know the nuances before making one appointment to view a home for sale. Whether you dream of purchasing a Palladian home or a Tuscan-styled villa, you will quickly learn that the devil is in the details. Let’s take a look at two of these. Finances We’ve all read about wealthy Chinese nationals that come to America and pay for ridiculously expensive homes using all cash. Not all luxury homebuyers have or want to spend cash for their homes, however. If you are among them you’ll need to obtain a mortgage. Jumbo loan requirements differ from conforming loans in several ways. First, you may need to come in with a larger down payment, typically 20 percent but perhaps as much as 30 percent of the purchase price. 

Jumbo lending is slower as well. There’s additional documentation required from the borrower and the lender may request more than one appraisal of the property. To speed the process along, gather up all of your financial documents before visiting the lender.

  • Asset statements
  • Tax returns
  • Proof of cash reserves
  • Employment verification
  • Profit and loss statement
  • K-1s and 1120s if you own more than 25 percent of a corporation

Your lender will let you know exactly which documents to bring, but if you have everything in a handy location it will save time.

If you will be paying cash for the home, have it appraised anyway. It’s the only way you’ll know for sure what the home is truly worth and that you aren’t paying too much. Take your Time High-end homes offer amenities and detailed design features that lower-priced homes lack. The state-of-the-art security system or the mechanical systems (such as an elevator) may require an inspection by a luxury home specialist or a contractor.  Luxury homes are substantially larger than other homes as well, requiring more time for inspections and appraisals. Have patience with the process and take all the time required to ensure you are satisfied with the purchase. The late Victor Kiam said that “Information is a negotiator's greatest weapon.” This is never truer than in a complicated real estate transaction such as the luxury home purchase.   

 

 
Blog Archive
2017-08-15 19:08:07
Going Back to School

2017-08-15 19:01:11
Save More on Back-To-School Shopping!

2017-07-13 14:24:24
The Mayor's Top 5 Reasons to Love Summer in Meridian

2017-07-03 12:43:18
Top 10 Reasons to Love Meridian, Idaho

2017-06-01 13:05:05
Time to Tomato Boom!

2017-05-16 14:38:11
Spring Fling Home Maintenance Tip: Sprinklers!

2017-03-28 14:48:54
How Do Homeowners Accumulate Wealth?

2017-03-28 13:52:21
Savings & Equity 101

2017-03-28 13:48:24
The Home Office Tax Deduction

2017-03-22 15:52:50
Look for these 3 Warning Signs when Shopping for a

2017-02-08 15:33:19
3 Ways to get an Amazing Deal in a Buyer

2017-01-19 15:52:04
3 Tips for Attending Open Houses

2017-01-10 13:09:47
3 Common Home Buying Myths

2016-12-21 11:30:03
Movin on Up

2016-12-07 10:58:32
2 Tips for the Luxury Home Buyer

2016-10-19 14:07:46
The Neighborhood Wish List: 3 Things to Consider

2016-10-12 14:23:00
HOA? Beware the Rules and Regulations!

2016-09-09 10:43:44
Everything you need to Know about Home Warranties

2016-08-23 11:12:29
2 Things to Consider Before Buying a Townhome

2016-08-04 14:44:51
What to Look for in the HOA Documents

2016-07-28 15:48:25
3 Things to Know about Buying New Construction

2016-07-07 15:17:39
Buying a FSBO without an Agent

2016-06-16 14:45:56
3 Reasons to Think Twice about a Home

2016-06-09 15:34:33
3 Important Aspects of the Purchase Agreement

2016-05-25 17:00:15
4 Tips to Close Quickly on a Home Purchase

Click here to see ALL articles.


Comment on this Article

Your Name:
Your Email:
Comments:
Verify:  Please enter the numbers shown to help eliminate spam.