How Much Money is Needed to Move from Renter to Buyer in Lower Merion, Haverford, Radnor Twps?



41 Lowrys Lane, $200,000

 In much of Lower Merion, Haverford and Radnor Townships, where we primarily focus our efforts, we estimate that about $200,000 is a typical cost for a small, move-in-ready, starter home on a nice, quiet street. There are of course, exceptions, but $200k is where you start to get some options.

This twin (pictured below ) at 41 Lowrys Lane, near 2 train lines and Villanova University, was just reduced to  $200,000, twenty percent less than its previous sale price of $252,000 in 2007. That's a compelling price for the neighborhood, and if the sellers are willing to budge a bit and offer a $10,000 sellers assist toward closing costs, a qualified buyer needs only about $9000 upfront - soup to nuts - to buy this home. Going forward, the total ongoing monthly payment for mortgage/taxes would be about $1425, or about equal to what one would pay if monthly rent for a similar home in the area....

Bottom line: if you have access to about $10,000 either via savings or family gift, and the job/earning security and confidence to make ongoing payments of $1400 month for at least 3 years, it makes sense to consider buying a home in 2013.  Talk to a Realtor (we'd like you to call us of course!) about getting pre-approved for a loan. The preappoval process (like talking to any Realtor) is free and without obligation. You may be pleasantly surprised or possibly very disappointed at how the preapproval process goes, depending on your credit history, debt obligations, and income review.

Our point here is not to sell this particular house, or to encourage anyone to buy a home for whom the decision is not sensible. But people frequently wonder what it takes to make the leap from renter to first-time buyer of a small, move-in ready home in these parts, and our bar is about $9000 cash, $1400/month, plus lender acceptable credit and income.