Buying a home in Georgia
If you’re tempted to save on your home inspection fee when you’re buying a home in Georgia, you probably shouldn’t. The law over what the seller must disclose to you is a bit confused. In theory, Georgia subscribes to the caveat emptor ("let the buyer beware") principle when it comes to real estate transactions. In other words, the buyer purchases the place "as-is" and the seller is not obliged to say a word about any defects or issues. That’s the position of Georgia statute law. But some Georgia courts have found sellers do have duties to disclose material defects. And it’s standard practice for sellers to provide such disclosures on a special form drawn up by the Georgia Association of Realtors. Even in states with clear statutory obligations to disclose, it’s often a good idea to have a home inspection. After all, owners may not know of some defects (or may claim not to know of them), which relieves them of their legal duty to disclose. A couple of insurance issues when you’re buying a home in Georgia:- You’ll be obliged to buy hurricane coverage within your homeowners insurance
- Hurricane insurance typically comes with high deductibles. You may have to pay the first $x of every claim you make. And $x might be between 1% and 5% of the insured value of your home, depending where you live
First time home buyer programs and grants in Georgia
Georgia has a few big first time home buyer programs:- The Georgia Dream Homeownership program: Offers up to $7,500 toward your down payment and/or closing costs. Available to qualified first time home buyers in Georgia who meet income, credit, and purchase price requirements. The assistance must be repaid when the home is sold, refinanced, or transferred
- The Georgia Homestretch Down Payment Assistance program: Offers up to $7,500 in assistance to home buyers in Gwinnett County. To qualify, you must have an income equal to 80% or less of the local median, a credit score of 640 or higher, and a debt-to-income ratio of 43% or lower
- HUD Assistance: More help is available to Georgia home buyers through the Department of Housing and Urban Development (HUD). You can read more about these assistance programs on HUD’s webpage