There are many facets of buying a home and the process can be a bit overwhelming at times. However, buying a home is very exciting and if you avoid various home buying mistakes, it will make your home ownership process one that is rewarding for many years to come. I recommend that home buyers avoid these three common mistakes when it comes to purchasing a house.
#1: Not working with a buyer’s agent.
A knowledgeable Realtor can help provide advice that fits your specific situation. An experienced buyer’s agent has worked with hundreds of different home buyers and they can help you understand what’s happening each step of the way. You’ll also be able to ask questions that may come up and your agent will also help you plan for closing costs and other costs that may arise. In addition, a buyer’s agent will help you know if a home is worth the price, what its resale value might be, and they will be your advocate when it comes to negotiations. When it comes to buying a home, you want someone on your side, and a qualified Realtor will be there the whole time.
#2: Not getting pre-approved.
Getting pre-approved for a mortgage serves dual purposes: it shows sellers that you’re serious and it also gives you a realistic idea of how much you can afford for a home. Work with a lender that you trust and gather up all relevant financial documents like pay stubs, tax returns, and bank statements. Your lender will work with you to get the information needed to provide an accurate pre-approval letter. Then, you can start shopping for homes within your budget.
#3: Not getting an inspection by a credentialed inspector.
A credentialed inspector will help alert you to any potential problems that the home may have such as faulty wiring, plumbing leaks, or structural issues. A layperson generally wouldn’t be able to spot these things, so when it comes to spending hundreds of thousands of dollars on a home, it’s worth it to pitch in a little bit extra to pay for a qualified and experienced inspector that holds proper credentials. Skipping that step could be costly, and you may end up paying for it later when you discover something major is wrong with the home.
If you’ve decided that you’re ready to buy a home this autumn, contact me today to help you get the ball rolling!
The inspection process: generally speaking, this is an overall evaluation of a home’s condition. If you’re not clear on how the process works, keep reading and I’ll lay out the general guidelines of what happens.
When the buyer gets the inspection done, the seller might not know what the results are for a few days. Once the buyer gets the results of the inspection, they need to get a copy of the report, digest it, and determine what they want the seller to fix, if anything. Most of the time, the buyer has 10 days to get any repair requests to the seller. In order to expedite things, the agent should help the buyer determine what is reasonable and what’s not.
Once the repair list is drafted, the seller has time to look at it and digest what’s on it. They can clarify what’s being asked for and they’re given some time to get bids and determine what items they should fix. An agent to help with this part of the process is crucial. An experienced agent will help provide information on what buyers generally ask for and what could be determined as “too much” or “over the top.” The seller will then respond and then the buyer will decide if they will accept this response.
The back-and-forth process can create a lot of dialogue and it’s very important that everyone understands each other. Whether it’s credits to the buyer or items that need to be completed before closing to meet buyer bank requirements, your agent has valuable experience in the negotiation process here. Take advantage of this experience and rely on your agent to help guide you along.
Buying and selling a home is full of many different steps and details. The inspection process can be complex, so if you have more questions about it, I’m happy to sit down and talk with you about it.