9 Buyer Traps for Unexperineced Home Buyers to Beware of
Published on Saturday, 16 June 2012
Among the hugest investments in life is buying. It can also become more costly than supposed if you fail to avoid the common traps: the property you want can cost you too much, you can lose the competition for the dream home defeated by some other interested in the purchase person or purchasing the improper house for you.
Using the right strategy when buying real estate will assist you escaping from these peculiarity, decreasing your expenses, and ensure that you get the perfect new home for you and your family.
Here are some of the most common traps for first time home buyers and tips on how to dodge them:
1. Don't offer misjudged bid.
When you're making a bid on a property, how much would your offer be? Can you determine whether the asked price is too low or too high to offer a home of great value? In order to make the right decision you should estimate the situation in the market and see how much similar homes sell for. Comparing prices and properties is key to understanding the principles of the market,especially of the local one or your customer behavior wouldn't be that reasonable. The more information you have the more confident you will be that your bid is reasonable.
2. Don't choose the inappropriate home.
Determining what you prefer in your place is supposed to be an easy task- the truth is it gets more complicated than previously expected. Don't allow your excitement to prevail and impact your decision. This way you might end up buying the wrong property.
Falling in love with the home you view, you would probably decide that you can compromise a few things in order to get it. Are you willing to drive more on your way to work? Your dream home may not be in the best and most convenient location. Before you start your search write down a list of all your needs and requirements for the property. This will make you see things clearly and differentiate between the right and the wrong properties. It will also make the discussion with your real estate agent much easier.
3. The surveys should be accurate.
Always request an updated survey of real estates, which shows clearly the boundaries of the property. If the survey is not a current one, there might be changes ( structural ones) which are missing.
4. Beware of undisclosed fix-up items.
Many sellers avoid mentioning some defects, unless they are really visible. However, a detailed examination by an expert would easily reveal them. You should hire and independent inspector whom you can trust - this is the most secure way to get a full, detailed and honest report. A seller would always try to minimize the defects, but increasing the profit, so be on the lookout always. If you can't afford hiring a professional inspector, educate yourself on what you should check and inspect the property yourself. List out any potential problems, defects, and things that need to be replaced or repaired. All of these will be your future expenses if you decide to buy the property.
5. Mortgage Pre-approval can save you bad experience
Receiving a pre-approval mortgage is quick, easy and free. This is an important step, which will allow you to know how much you can spend, before you start shopping. You would feel much freer and calm knowing your limits.
6. Avoid any delays of closing
These can be postponed if the seller doesn't manage to make the specified repairs or alters the agreement somehow. You should prepare a list of issues which you and the seller agree upon, and the seller should deposit an agreed amount which will cover the repairs.
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