Buying a home can be a very daunting task which is why having the right counsel is of the utmost importance. Here is a list 10 mistakes that I see buyers commonly make.
- Making an offer on a home without being Pre-Approved for a mortgage
- Being pre-approved for a mortgage will make your life easier – so take time to speak with a mortgage consultant. Their specific questions in regard to income, debt, etc will help you determine the price range you can afford. It is an important step on the path to home ownership.
- Get a free, no-obligation pre-approval
- Not having a home inspection
- Trying to save money today can end up costing you greatly tomorrow. A qualified home inspector will detect issues that many buyers overlook. Your real estate agent should have a list of inspectors that they recommend.
- Limiting your search to open houses, ads or the internet
- Many homes listed in magazines or on the internet have already been sold. Your best course of action is to contact a Realtor®
- Many homes listed in magazines or on the internet have already been sold. Your best course of action is to contact a Realtor®
- Choosing a Real Estate agent who is not committed to forming a strong business relationship with you.
- Making a connection with the right Realtor is crucial. Choose a professional who is dedicated to serving your needs – before, during and after the sale.
- Thinking there is only ONE perfect house out there.
- Buying a home is a process of elimination, not selection. New properties arrive on the market daily, so be open to all possibilities. Ask your Realtor for a comparative market analysis. This compares homes that have recently sold, or are still for sale.
- Not considering long-term needs.
- It is important to think ahead. Will the home suit your needs in 5 years?
- Not examining insurance issues.
- Purchase Adequate insurance. Advice from an insurance agent can provide you with answers to any concerns you may have.
- Not buying a home protection plan/Home warranty
- This is essentially a mini insurance policy that usually last one year from settlement. It usually covers basic repairs you may encounter and can be purchase for a nominal fee. Talk to your Real Estate agent to help find the protection plan that you need.
- Not knowing total costs involved
- Early in the buying process, ask your Realtor or lender for an estimate of closing costs. Home owners association fees, PMI, and taxes should be taken into account. Remember to examine your settlement statement prior to closing.
- Not following through on “due diligence”.
- Buyers should make a list of any concerns they have relating to issuse such as; Crime rates, schools, power lines, neighborhoods, environmental conditions, etc. Ask the important questions before you make an offer on a home. Be diligent so that you can have confidence in your purchase.
Tags: Home Buyers
