There are many great San Gabriel Valley area homes for sale. Click here to perform a full home search, or if you're thinking of selling your home, click here for a FREE Home Price Evaluation
so you know what buyers will pay for your home in today's market. You
may also call me at (626) 643-7090 for a FREE home buying or selling
consultation to answer any of your real estate questions.
The first thing you want to look at is the neighborhood. Find a place with good schools that is also within a reasonable commute to work.
The next thing you will want to do is get pre-qualified. This is a very important step, as it will allow you to see what kind of home you can afford. Before you get pre-qualified however, you need to pay special attention to your tax return.
Most of the problems we see with tax returns and people getting pre-qualified is due to Form 2106: the un-reimbursed employee expense form. A lot of times accountants will be able to take thousands off of your tax expenses, but it will end up hurting you tremendously when buying a home.
Case in point: we had a client who got $18,000 in un-reimbursed employee expenses and ended up paying $3,600 less in taxes. However, that gave him $18,000 less to purchase with, and once the 4% interest rate was factored in, his affordability went way down. He went from being able to qualify for a $450,000 loan to barely qualifying for a $300,000 one.
So, take a look at your tax return, especially if you plan to buy in the next year. On your 2014 taxes, do a tax amendment eliminating the 2106 so when you purchase next year, you can afford more of a home.
If you have any questions, be sure to let me know. I look forward to hearing from you soon!
