When you’re ready to buy a home, be it a seasonal property, vacation home, or primary residence, you’ll have many choices to make. And you’ll encounter different situations as you go through the process. Buying a home is both an exciting and anxious time because there are so many unknowns. For instance, you might have to deal with conflicting home inspection reports. This scenario arises when a seller conducts a professional pre-listing inspection and the buyer also conducts a home inspection. But, there are other unenviable circumstances which buyers might experience. So, you should know how to avoid common home buying pitfalls.
How to Avoid Common Home Buying Pitfalls
Among the largest home buying pitfalls is being unprepared the mortgage approval process. Even if you have stellar credit, chances are excellent there are a few errors on your credit reports. It’s a known fact that nearly 40 million credit files contain errors. So, it’s a good idea to order your credit files from each of the three reporting bureaus: Equifax, Experian, and TransUnion. And, you can do this free by ordering your credit reports from Annual Credit Report.com.
“For most people, a home is the largest purchase they’ll ever make, so choosing the wrong property can have disastrous implications for their wallets and well-being. Still, many homeowners feel a strong sense of pride in putting their mark on the property, building equity and having a place to truly call their own.” —U.S. News and World Report
Additionally, you should be prepared for other problems after you have an accepted purchase offer. It’s fairly common for insurance carriers to throw a wrench in the works. Also, you might be dealing with an absentee seller, which will probably slow the transaction. Or, it could be having to deal with a low home appraisal. The search and purchase processes are tricky to navigate, even if you’ve bought a home before. And if you’re a first-time buyer, you’ll especially benefit from knowing what to avoid. Here’s how to avoid common home buying pitfalls:
- Shop around for a suitable mortgage. It’s generally best to shop mortgage products from different lenders. And, working with a professional mortgage broker is a good option. This way, you’ll be presented with a number of options. You can also do the shopping on your own to compare terms, rates, and mortgage types.
- Expand your house hunt to other neighborhoods. Every buyer has their favorite locations and communities. There’s certainly nothing wrong with preference but it can be an impediment to finding a great house. Don’t limit your property search to just one or a few neighborhoods because you might pass up a wonderful opportunity.
- Be prepared and willing to think like a seller. When you’re looking for a home, be sure to do so with a long-term thought process. Most homeowners do sell their properties in five to seven years or a bit longer. So, think about resale when you’re house hunting and you’ll do yourself a tremendous favor.
- Expect real give and take in the negotiations. While you’ll want to get as much house for as low a price as possible, it’s unrealistic to believe you’ll get it all. Back and forth is quite commonplace in real estate transactions. Rely on an experienced real estate professional to help you navigate the process.
- Don’t chase a deal at all costs, it’s counterproductive. There are instances where even a great buy isn’t truly worthwhile and this can be true for a number of reasons. In the end, chasing a deal at all costs is just going to result in a heap of disappointment one way or another.
If you are considering buying or selling a home in Orlando, contact us for the latest market information. We’ll also provide you with the right advice about the local real estate market so you make the best decisions.