Two Reasons Why Renters Talk Themselves Out of Buying

Most buyers know what it takes to get a mortgage.  The information is everywhere.  Many have saved thousands of dollars and have taken the time to clean up their credit reports before starting to look for a home.  And even with a pre-qualification letter in hand, many buyers are still on the fence when it comes to buying their first home.  There are two main reasons that stall the process for buyers.

The first is fear...Fear is the biggest culprit from doing anything new.  Because so many people have lost their homes in this current market, first-time homebuyers don't want to repeat the same pattern.  One good thing that came out of this housing crisis is that it is nearly impossible to get a bad loan.  Loan officers are held to such scrutiny that you will not be able to get a loan if you cannot prove you can pay it back.  Most of the unscrupulous lenders have been forced out of the business all together.  And with new guidelines, buyers must be given an estimate of costs associated with each loan from the very beginning.

The second is trust... First-time homebuyers must depend on their real estate agent to assist them in their purchase.  But, how do buyers get to trust someone they do not know? Many homebuyers do not want to feel vulnerable or make a big and costly mistake.  To get over this "trust" factor, I suggest getting referrals from people they know and trust about their real estate agents and their experience.  Once the buyer has compiled a list of agents, they should call and set-up meetings with each agent.  The buyer should ask tons of questions.  If the buyer feels like their questions are not being answered or the real estate agent tires easily from answering their questions, they may want to move on.  Remember the buyer must rely on the agent's expertise to get through the home buying process. 

Buyers can overcome their fear and trust issues by starting early and going with their instinct.  Buying a home can be a positive experience and one that, if done correctly, can start them down the road to building wealth.

If you have any questions about the home buying process, please do not hesitate to contact me via email at shantasells@yahoo.com.