Home Buying Mistakes

Working with an agent or lender you don’t trust. It’s absolutely necessary that you feel comfortable and confident with the integrity, knowledge and the skill of your Realtor and lending professional. Ask your family and friends for referrals. Don’t wait until it’s too late to realize you’re working with the wrong person.

Waiting to buy until you save for a larger down payment. A lot of home buyers feel that they need to have a large down payment before they purchase a home. It seems that they are unaware of the many options for little or zero down that are available. An effort to save an additional $10,000 may be lost in 6 months time with increased home prices.

Beginning the home search before you talk with a lender. You want to make sure that you are searching for a home in the appropriate price range. Taking the extra step of getting pre-approved for your loan can make you a stronger buyer. .Your loan approval will demonstrate your level of commitment to the seller.

Signing papers without understanding them. You will be asked to sign many documents and you need to be aware of your obligations and responsibilities. Ask questions about items that you find unclear. When you are purchasing a home, there are no dumb questions.

Buying a home without a professional home inspection. A home inspection is like a physical exam or the property that is followed up by a written report. You need a true professional to do the inspection. It’s important that you are present at the inspection so that you can view the process. Keep in mind that this is not a guarantee of condition. The primary purpose is to make you aware of what you are purchasing. Home sellers are not required to make requested repairs, but some will. Be sure that your purchase agreement includes an inspection contingency.

Taking someone’s word. Be sure that you have everything that you have agreed upon with the seller in writing. Leave nothing for interpretation. You don’t want to rely on working things out at a later date. Even with the best of intentions, something could be misunderstood.

Unrealistic expectations in the home buying process. Remember the importance of flexibility in your transaction. Price is only one of the elements of an acceptable offer. It’s best to be prepared and open to other terms and conditions, such as the length of escrow, move in date, etc. Also remember the need for flexibility can change depending on the marketplace….is it a buyer’s or seller’s market?