Ten Mistakes Buyers make when purchasing a home

There are a lot of different reasons why a home purchase doesn't go through.  Whatever that reason is it inevitably leads to a great deal of heartbreak and angst on the part of the Buyers (and to be honest on the Realtor as well).  So what can be done to help mitigate the emotional devastation that an offer that crashes and burns can bring?

Here are 10 major mistakes that Buyers make and some ways to avoid them:

1. Making an offer without getting pre qualified.  Taking the time to talk to your bank about how much you can afford to borrow will give you an idea of what your price range is going to be.  Don't be afraid of the questions they are going to ask about your income, debts, etc.  It is better to be up front about these things and get over any hurdles BEFORE you fall in love with the house of your dreams.  I don't want you to be crushed when you have already started emotionally moving in to a home, go through the negotiations on it, THEN find out you can't afford it.
2. Not getting a your team together.  Even though your Realtor (ME!) will be the quarterback for you, you need to make sure that you have thought of the other specialists that are a part of the transaction.  Trying to save a bit of money today can cost you a whole lot later.  A qualified home inspector will be able to detect issues that you may not, especially as he is not emotionally invested in the house!  Imagine moving in to a home and then finding out in the first heavy rain storm that the basement becomes a pool!  You should also have a lawyer in mind that when the time comes (we have an unconditional offer) will take all the other docs and get them organized so that title can transfer into your name.
3. Limiting your search to open houses, ads and the internet.  Much of what you see on the public side of MLS or in print advertising could already be sold.  Agents have access to the member side of MLS which give us a real-time look at the properties that meet your wish list.  This allows us to be on top of new listings as they come out and get you into them a lot faster.
4. Choosing an agent who is not committed to forming a strong relationship with you.  This is such a crucial mistake that I can't stress it enough.  Your agent needs to be dedicated to your needs - before, during and after the sale.  A good agent wants to be your agent for ever ... I want to not only help you find this house for you, your next house, your kid's house, and your friend's homes as well.  I tend to like my clients and invest in them for life!
5. Thinking there is only one perfect house for them.  I know you have your dream house in your head, but let's be honest, house hunting is in most cases a series of compromises.  Not every house built is on the market at the same time you are looking, and you need to keep an open mind when looking.  I am going to try and find everything you want in the homes that are available but it is important to have a set of priorities for your wish list.
6. Not considering the long term.  It is important to not only think about your life and lifestyle today, but also 3, 5, 10 years down the road.  Where are you going, where is the community that you are looking in going?  
7. Not sitting down and having a meeting before starting you home search.  To often Buyers look at  homes on the internet then rush out to look at a bunch and make a buying decision.  Sitting down with me beforehand to talk about 5 & 6 can really help streamline the process and make the balance of the buy go a bit easier.
8. Not knowing your total costs involved.  This should be part of the meeting we talked about in #7.  There is more to a home purchase than the down payment.  Legal fees, closing costs, moving bills, utilities, insurance, HOA or Condo fees (or both) all are things you need to consider and account for in your bank account.
9. Not following through on due diligence.  Make a list of non-home related things that are important to you: schools, transit, crime rates, etc.; then BEFORE we make an offer make sure that we have answered these questions to your satisfaction.
10. Not taking into account adequate insurance.  Make sure that your insurance policy is appropriate for the home.  With Condos especially you need to make sure that you are carrying proper policies that protect your property and you the best way you can.

Dealing with these 10 issues will put you on a much better and less stressful path to happy home ownership.  Give me a call at 780-919-7653 or email me and we can make arrangements to sit down, have a chat and plan out your home purchase journey!

Oh ... one last thing ... if you come across someone who is thinking abut buying or selling a home I'd love to help them too!  Just give me a call with their name and contact info and I will be happy to follow up with them!

Larry