4 Things to Know About Buying a House in Another State

Buying a home from across the country is a tricky task. It’s not as simple and reassuring as looking at houses close by, but it also opens up a world of new options. Click here for some important things to know about buying a house in another state.

Are you interested in buying a house in another state?

It can be a daunting task, but you won’t be alone. Around 1.5% of Americans found themselves relocating to a new state within the last year.

Before you get started, however, there are a few things you need to know about remote home buying.

Buying a House in Another State

If buying a home wasn’t already a complicated enough, looking to relocate to a new state is a whole new game.

It’s a scary process, but we’ve outlined a few things you should know. With any luck, it will encourage you on your journey to your new home.

Loan Pre-Approval

When determining what bank you want to work with, consider a national name. At the very least, find a bank that does business in both your home state and the one you’re moving to.

Doing so tends to make the lending process much easier for all parties involved. Keep in mind, some local banks and credit unions have procedures for lending money in out-of-state purchases.

Cost of Living

One of the most important tips for moving out-of-state is determining the cost of living differential. If you’re looking into a larger city, for example, costs differ between various locations and districts.

If you relocate to an area with a higher cost of living without taking a raise, it’s no different than taking a cut. This makes it imperative to weigh your options.

Understand What You Want

No matter the circumstance, if you’re looking for a new home, you should have a list of wanted features. Determine a top 5 list or find out what would be non-negotiable for you.

Knowing what you want makes your agent’s job easier. They can narrow down potential neighborhoods and present you with better options that fit your needs.

The faster you find a home, the faster you can make an offer.

Make a Checklist

There is a lot involved in buying a home. There is even more involved when buying remotely. Creating a checklist will help you keep track of everything.

Here are some options to start with:


To ensure that your offer is taken seriously, you’ll need to put down a deposit as well. The average deposit is around $1000, but you can make it half that.

Buyer’s agents are specially trained in this area. They can walk you through the full process to ensure you make a competitive offer.


One of the most critical steps in buying a home is the inspection. However, you can’t recoup the cost if the report encourages you to walk away.

The average home inspection costs around $500, but it depends on various factors. On a rare occasion, you should only have to pay for a single inspection before furthering negotiations.

Understand Total Closing Costs

This is the part that makes house buying expensive. Closing costs should be between 2-5% of the sales price. For example, a $500,000 home will have over $20,000 in closing costs.

It doesn’t end there; extra fees may be incurred at closing for services like credit checks, appraisal, origination costs, and title insurance.

Buy Like a Pro

Now that you’ve read through a quick guide to buying a house in another state, you should be set to begin your journey. A little research goes a long way and can relieve you of the stress of buying.

To learn more about how we can help you relocate to the home of your dreams, feel free to contact us anytime.