Understanding the Market.
While you may not have any control over what kind of market you are stepping into when you want to buy a home, it is still important to know the current state of the market.
4. Is it a Buyer’s or Seller’s Market?
Market conditions can have a large influence on housing prices and negotiation power. In a buyer’s market, there are more homes for sale than buyers, often leading to lower prices. Conversely, a seller’s market can result in higher prices due to limited inventory.
Minnesota Realtors® suggests researching market conditions to help inform your buying strategy. For the most up-to-date information on the housing market in the state of Minnesota, visit our Housing Market page here.
Not from Minnesota? Often, your state's local Realtor® Association will have a resource page with all the information about your local market available. And don’t be afraid to ask your Realtor®!
5. Are Property Values Rising or Falling in This Area?
If you are looking for your forever home, this question may not 100% apply to you. However, having a general knowledge of where the long-term value of your prospective property is going is never a bad thing to know!
Understanding the long-term value of your investment helps you make an informed decision before purchasing your future home. Take notice of the trends in the area and imagine this particular neighborhood in 5-10 years. Are there more local businesses moving in? Bike Paths? Sidewalks? Those considerations, along with the property value trends, should give you a good idea of the value that this area/neighborhood will bring to your home later on. As local market experts, your Realtor® will have access to the most critical data about homes and locations that fit your situation.
Property-Specific Questions To Ask Before Buying A Home.
6. How Old is the Property and Its Major Systems?
The age of a home and its major systems (like plumbing, electrical, roofing, and HVAC) can indicate potential future repair or replacement costs. It may seem like a small thing to note, but this is an important tangential task that pairs with creating your budget.
We have all heard the advice to not skip out on a home inspection before buying a home, but don’t forget to ask the simple question “how old is X,Y,Z?” Being able to predict large-scale expenses that may come up in the first 3-5 years of owning your home can help you budget accordingly and help save you from the stress of that replacement/repair down the line.
7. Are There Any Liens or Legal Disputes on the Property?
One of the most crucial yet often overlooked questions to ask before buying a home involves the property’s legal standing. A lien is a legal claim against a property for unpaid debts, which could become your problem after purchase if not addressed beforehand. Prospective buyers should ensure no legal encumbrances like liens or lawsuits are attached to the property before finalizing a purchase. It’s typically part of the title search, which your closing attorney or title company conducts before settlement.
Failing to check this could lead to financial liability or legal headaches after you move in. Always ask for a title report or title insurance, which protects against unforeseen ownership disputes.
Future Proofing Questions to Ask Before Buying A House.
Imagining your future in your new home and all the memories that will come with it is one of the most exciting things about buying a home. Most people aren’t thinking about selling when they first buy a home—but it’s never a bad idea to hope for the best and plan for the worst.
Below are questions to ask before buying a home that will help put yourself into the mindset of your future self. You may want to live in your new home forever, but as a large-scale investment, it’s a good idea to consider what that investment could mean for you later on.
8. Will This Home Meet My Future Needs?
In a moment where you are about to make, potentially, one of the biggest purchases you will ever make, it can be daunting to then ask yourself to think even beyond that. But it doesn’t have to be stressful! Think about it pragmatically.
Will this home accommodate a growing family, potential career changes, or aging in place? An affordable fixer-upper that is a 45 min commute from work might be okay right now. But, will it suit you in 3-5 years?
Another question to ask is: is the floor plan adaptable and does it provide opportunities for growth? Envisioning your future in the home before making any large decisions will help you make a great, long-term decision.
9. How Easy Will It Be to Sell This Property Later?
Of all the questions to ask before buying a home, this one might be the one we want to think about the least. And we get it—you're about to buy a home and you are excited! Odds are, you are not already planning to resell and move out.
But life happens. You might need to move for a job, family reasons, or even personal preference. How updated is the home? Conversely, how much updating to the home will you have to do to make the home desirable in 3-5 years should you choose to sell? Updating the kitchen, bathrooms, or even the floor plan to make the house more desirable is a large expense (and project) to take on!
Our No. 1 Tip!
Buying a home is one of life’s most significant milestones—a complex journey filled with excitement, dreams, and yes, a fair amount of stress. But asking the right questions along the way can turn what might feel like a complicated, overwhelming process into a smart, confident investment in your future. Whether you’re a first-time buyer navigating the market or a seasoned homeowner looking for your next property, being informed is your most powerful tool.
We covered a lot of questions and it can feel overwhelming and that is okay! When it comes to asking questions before buying a home, the most important piece of advice we can bestow is to talk to your Realtor®! Realtors® are trained professionals who 1. Are bound to a code of ethics and 2. Are required to complete continuing education courses every year which means that they are your most up-to-date resource for your financial, homeownership, and property questions.