Home buying is a tricky affair to engage in. Aside from funds, you also need to be cunning in dealing with your seller. Whether you’re enjoying the help of a real estate agent or just looking homes on your own, it’s always better to be equipped with proper knowledge and understanding about the whole scheme of buying homes. Setting your expectation on appropriate levels also helps. Know how to be better at home buying with the simple tips listed below:
🔑Trust is Key
Finding out how to become better at home buying begins with awareness. So let us begin with a couple of facts.
As the world doesn’t seem to get, any kinder, sellers think of their welfare so well. Before you can look at a home, you have to prepare to provide your ability to buy upfront. Not only that this helps build trust for both parties, but it also helps you know that the seller means business. Asking for identification is also necessary on your part as the home buyer. Ask the seller proper information about them so you’ll know where to stand
Buying a house requires a careful balance of quite a few variables. In addition to doing your homework on the house you love, you must find the right professional who can guide you through the process and be prepared to remove any obstacles. Here is what you need to know about the process to avoid common pitfalls.
Whether you want a quiet place to live after retirement or relocating to a different state, the search for a new home will be a little different than looking through listings in your city. It requires effort on your part, and we have identified a few secrets that will make the process easier.
👍 Pre-approval Open Doors
Before you set your hopes up, you need to take this critical step of being pre-approved. Knowing how much you can you afford to secure a mortgage is necessary. The lender has to review your assets, credits, and income. Note that it won’t be a casual conversation over a cup of tea. The lender must see the exact amount of what you declare. It’s the only way to enjoy pre-approval.
The thing about getting pre-approved is the expectations that come with it. You shouldn’t get too worked up with this. Expect possible disappointments along the way. What to do before you get pre-approved? Don’t look at homes that cost more than what your funds will allow you. You don’t have to lose that ‘dream home’ because you aren’t pre-approved. Note that sellers require pre-approvals with all offers from the buyers. If you look at homes in advance and go back to your lender to get pre-approved, other buyers who are pre-approved might enter the picture while you’re busy out there. Don’t lose that home you want because you didn’t go through the advised process. Be a better homebuyer than that.
📝 Prepare for the Home Buying Before you Get Into It
Have you planned your home buying experience thoroughly? Or have you just looked up a home and thought that would look good with your family in it? Avoid further hassles by preparing way more advanced. Below are the things you should make before jumping into the homebuying fiasco:
✅ Have you maintained your credit to qualify?
✅ Have you saved enough money for a down payment, closing costs and home maintenance after you own the home?
✅ Have you considered the area you want to move to for such things as the schools?
✅ Have you planned for the actual move and what it entails?
Those are the basic you must include in your home buying plan. Identify your needs and wants first. Build up your reputation. Draw a comprehensive plan that covers your overall home buying experience.
👎 Lowball Offers Often Don’t Stick to Sellers.
Have you identified your purchasing power for homes? Then only look up homes that go under your bracket. Don’t try to adore homes that are priced way beyond what you can afford and try to offer the seller with only what you have. The seller will most likely reject your offer. You might be able to avoid this if your real estate agents have attributes necessary to close the deal on your terms.
🚫 Put other Major Purchases on Hold
Your money can only afford so much when it comes to home buying. Don’t sign a contract for your new home and dive head first to a shopping spree. Hold yourself. Homebuying is a significant financial commitment, and if you’re not committed enough, you might halt the process of your loan approval. Set aside your ideal car or furniture until you’ve closed that deal on your new home purchase.
👤Your Realtor Must be Keen on the Local Real Estate Market.
If you’re having a realtor help you with the process, get one that’s equipped with the necessary knowledge about your chosen neighborhood or area. Your realtor must be at least be able to know the following:
✅ The prices are homes being sold for
✅ How fast are homes selling
✅ What’s the inventory level
✅ What type of market is it
✅ Where is the market headed
✅ What benefits/disadvantages do a city hold
Know more about the attributes you real estate agent must have by reading our article on this matter. Note that even though you don’t know anything about the local real estate market, if you’ve picked the right realtor, you might just witness magic during your home buying experience.
🔍 Prepare to Meet Halfway.
Give and take between the seller and the buyer can go miles. Seek harmony between the seller. While you can’t get everything that you want during the deal, it’s also essential for both of the parties to practice harmonious homebuying negotiation. Now, if you’re not ready to do the deal yourself, your realtor will be there for you. What you need to do is identify how low your offer can get and identify other adjustments you can tolerate. In this way, it would be easy for you to amend with the seller.
🔨 Expect Necessary Home Repairs.
No need to worry about the broken knobs or broken window glass. While minor things also need to be noted, you ultimately need to be concerned about significant repairs the home needs. Think about how they can be resolved. The seller might not give you credit for all those things that the inspector notes, but it won’t hurt to find out if they will. Ask the seller for contribution and see where the conversation leads you both. If you’re very concerned about these aspects, let your realtor know so he/she can prepare for the negotiation.
💡Take Advantage of Sellers Being Present on Showings.
Sellers attending the showing is as rare as diamonds. Sometimes some of them still insist on showing. When they do, your realtor will have the chance to look for reasons to get you a reduced home price. Know in advance whether they will be so you can speak with your realtor about how to go through the negotiation process. As communication is vital with the seller, it also rings true with your realtor.
💭 Don’t be Afraid to Let the Seller Know About Your Wishes
Making a firm offer on a home is different from wishing the seller would meet you halfway. It’s never wrong to poke a seller’s heart to know if its soft enough get you that home you and your family loves. Lots of sellers in the market wants to pass the house to a family to continue the tradition of raising a family there just like they did! If you’re a newbie in the real estate market and wants to invest, let the seller know about it. Present a letter with your offer. It won’t hurt waiting for an answer to a polite request.
🗃 Additional Home Buyer Resources
Are You Renting Because Your Credit Score Is Too Low To Buy? – by David Martin
25 First Time Home Buyer Tips From Top Real Estate Professionals – by Eric Jenette
Top Struggles Of The First Time Homebuyer – What To Do About It – by Geoff Southworth
The Ultimate Home Buyers Timeline – by Danny “Wheels” Margagliano
8 Tips for Buying a Luxury Home – by Xavier De Buck
Are home buyer incentives a win-win or just a distraction? – by Conor MacEvilly
Questions to Ask Your Lender or Mortgage Broker – by Bill Gassett