7 Home Buyer Traps and How to Avoid Them
Buyer Beware: No matter which way you look at it, buying a home is a major investment. For many home buyers, however, it can be an even more expensive
process than it needs to be. They fall prey to some of the many common and costly mistakes which trap them into either:
- paying too much for the home they want,
- losing their dream home to another buyer or,
- (worse) buying the wrong home for their needs.
A systemized approach to the home-buying process can help you avoid these 7 Home Buyer Traps:
- Not Getting Mortgage Pre-approval.
Pre-approval is fast, easy and free. When you have a pre-approved mortgage, you can shop for your home with a greater sense of freedom and security. It will also add strength to your negotiations. Many of my clients have worked with Angie Williams of The Legacy Group and have been delighted with her services. You can find Angie at 253-225-8195 or firstname.lastname@example.org.
2. Buying the Wrong Home.
What are you looking for in a home?
A simple enough question, but the answer can be quite complex. More than one
buyer has been swept up in the emotion and excitement of the buying process, only to find himself the owner of a home that is either too big or too small. Take the time up front to clearly define your wants and needs. Don’t get caught in this costly trap.
3. Do Not Be Surprised.
Many buyers still operate under the impression that it will take weeks or months to find a home to buy. This is not necessarily the case. The Internet has revolutionized home buying, and buyers are much more educated than they used to be. Be ready to purchase immediately if you find the right home.
4. Bidding Blindly.
What price should you offer when you bid on a home? Is the seller’s asking price too high, or does it represent a great deal? If you fail to research the market in order to understand what comparable homes are selling for, making your offer would be like bidding blindly - an action you definitely want to avoid.
5. Undisclosed Fix-ups.
Do not expect every seller to own up to every physical detail that will need to be attended to. Both you and the seller are out to maximize your investment. Ensure that you conduct a thorough inspection of the home early in the process.
6. Hidden Costs.
Make sure you identify and cover all costs—from your lender as well as escrow—far enough ahead of time. Understand these in advance by having your lender project total charges for you in writing.
7. Rushing the Closing.
Take your time during this critical part of the process, and insist on seeing all paperwork the day before you sign. Make sure this documentation perfectly reflects your understanding of the transaction, and that nothing has been added or subtracted.
Call me if you would like additional information regarding the home buying process. Kimberly Gartland (253)405-8020.