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10 Tips for Home Buyers

By
Real Estate Agent with Keller Williams Realty-Louisville East

10 Tips for Home Buyers

Ten Tips for Louisville Home Buyers

Enlist the Help of a Buyer's Agent

Today, home buyers can and should be represented by their own agent. The Buyer's Agent is bound by contract to do everything possible to protect their buyer's interest and always perform with their client's best interests in mind. Working with a Buyer's Agent will assure the client that they are always receiving the best service possible as well as being counseled throughout the entire buying process. This usually requires a written agreement.

Make a Commitment to the Process

Buying a home is often the largest and most important purchase in the lives of many people. The committed homebuyer should make a conscious decision to purchase, allocate adequate time off to look, keep their emotions in check, and heed the advice of the professional they have chosen to represent them.

Select the Area of Your Preference

Choosing the “location” should be the next step in the process. Buyers should consider factors such as schools, distance from work/shopping, health care, overall appearance and affordability before scheduling appointments to tour various homes.

Obtain Pre-Approval for Financing

When a Seller receives an offer to purchase there are two primary factors immediately considered – How much is being offered; and does the buyer have the financial capability? A seller has no way of knowing who you are or if you are reliable. A seller is more willing to negotiate money and terms when the question of finance is not an issue. Also, when a buyer has made the effort to establish pre-approval it establishes how much they can afford and puts them in a better position to negotiate.

Be Pro – Active

There are many details that only the home buyer can resolve to assure a timely, trouble free purchase and closing. The Buyer's Agent will counsel and assist throughout the process, however, the buyer will have the best experience possible if they are fully aware of the process and ask questions along the way.

Make the Right Offer

Once you are pre-approved for financing, you have selected a Buyer's Agent, the area is chosen, and you have selected the home an offer has to be made. The buyer needs to make the “right offer” and should listen carefully to the advice of his Buyer's Agent. A too low first offer can result in the buyer losing the home or even paying too much for the home. A low ball offer will often put the seller on the defensive. The environment will then become stressed which will result in the loss of a Win-Win negotiation situation. A “too high” offer may not only cost the buyer money but could also cause the seller to be less agreeable regarding other terms and conditions.

Procure a Survey

Not only is purchasing Real Estate a complex business transaction, but, there are many things to be considered and many things that could go wrong. However, there is no reason for the buyer to be sure that their new property is free of encroachments with a clear title.

Surveys are a verification of property boundary lines and they should display any encroachments or easements. It is possible for boundary lines to be overlooked when additions, garages, and even fences are added to property. The survey will clear up any of these issues before you become owner of the property.

Purchase Title Insurance

Title Insurance will guarantee that upon purchasing Real Estate there is no one with any claim to your property. If someone should claim previous ownership the Title Insurance guarantees that your ownership interest will be protected.

Obtain a Home Inspection

A licensed professional will be able to find things of concern that the buyer may otherwise overlook. Some of these items may include; construction issues, safety issues, or building codes.This does not mean that if the inspector should find items of concern the home-owner will automatically fix them. Each situation is different and the buyer should look to his Buyer's Agent for advice regarding this situation.

Avoid Midstream Changes

The wise home buyer will avoid nonessential changes regarding their financial profile if at all possible. Your mortgage pre-approval is always subject to financial issues remaining unchanged until closing. Making a large purchase, missing a credit card payment, obtaining a loan/line of credit can all be factors that impact the pre-approval and will jeopardize the home buyer's ability to obtain the mortgage loan for the desired amount.

For more information on buying a home in Louisville, KY go to Buying a Home in Louisville, KY or contact Jimmy Welch Team at 502-554-9533.

To see all Louisville Homes for Sale, you can visit our website at www.jimmywelch.com or contact the Jimmy Welch Team at 502-439-1404.

Comments (16)

Anonymous
Craig

First!  Well written article, while we should all know these things, it is always good to have a well done list to refer to! Congrats on the feature! 

Nov 18, 2011 02:55 AM
#1
Frank Iglesias
Working With Houses, LLC - Atlanta Real Estate Investments - Lawrenceville, GA
Atlanta, GA Real Estate Investor

Point number 4 about being pre-approved is still so often overlooked.  Nice read.

Nov 18, 2011 03:17 AM
Rob Ernst
Certified Structure Inspector - Reno, NV
Reno, NV-775-410-4286 Inspector & Energy Auditor

Very happy to see getting a Home Inspection is on the list.

Nov 18, 2011 03:21 AM
Joy Daniels
Joy Daniels Real Estate Group, Ltd. - Harrisburg, PA

I like your last point - AVOID MIDSTREAM CHANGES. . . too often buyers forget that they can't do anything to affect their credit during the home mortgage approval process.  Thanks for the list!

Nov 18, 2011 04:40 AM
Priscilla Hammond
Desari Jabbar Realty Group - Jonesboro, GA
Making amazing happen

Hi Jimmy, I love this post it's great advice for home buyers especially this part--- keep their emotions in check, and heed the advice of the professional they have chosen to represent them

keep em' comin

Nov 18, 2011 04:43 AM
Keith Bochner
Coldwell Banker Residential Brokerage - Parsippany-Troy Hills, NJ
MorrisCountyRE.com

Good post.  Thanks!

Nov 18, 2011 06:06 AM
Ben Blonder
Broker/Owner, Keller Williams - Fort Collins, CO
Buyers, Sellers, Investors!

All of these are important to the process! Great list!

Nov 18, 2011 06:31 AM
Lisa Dunham
Alexandria, VA
Associate Broker, Alexandria Virginia Real Estate

A very comprehensive list!  I am glad you included the title insurance as many home buyers are unaware of its importance.  Nicely done!

Nov 18, 2011 06:49 AM
Eric Michael
Remerica Integrity, Realtors®, Northville, MI - Livonia, MI
Metro Detroit Real Estate Professional 734.564.1519

Great list for buyers to use. The one about Selecting your Area is very important. It's amazing how many people want to look at homes in 15 different cities and 3 counties.

Nov 18, 2011 07:17 AM
Stephanie Stringer
First Choice Loan Services NMLS#210764 - San Antonio, TX
Mortgage Loan Originator

Very detailed list of the home buying process.  Great job on getting featured.

Nov 18, 2011 02:09 PM
Digital Digital
Alachua, FL
full service

Hi Jimmy,
Congrats on the feature.
Points # 1 and 9 are two crucial steps that most first time buyers tend to overlook and as a result it could be very costly to them. Having a knowledgeable Realtor and completing a home inspection before a purchase can be priceless to any buyer.
Have a wonderful weekend!

Nov 18, 2011 02:26 PM
J. Philip Faranda
Howard Hanna Rand Realty - Yorktown Heights, NY
Associate Broker / Office Manager

Avoid mistream changes is huge. When a buyer changes their deposit or mortgage it drives me to drink. 

Nov 18, 2011 02:42 PM
Anthony Daniels
Coldwell Banker - San Francisco, CA
SF Bay Area REO Specialist

You can never have too many homebuyer tips.

Good post, thanks for sharing it.

Nov 18, 2011 04:20 PM
Christine Donovan
Donovan Blatt Realty - Costa Mesa, CA
Broker/Attorney 714-319-9751 DRE01267479 - Costa M

Jimmy - This looks like a pretty good list of tips though we don't typically do surveys around here.

Nov 18, 2011 04:56 PM
Jimmy Welch
Keller Williams Realty-Louisville East - Louisville, KY
Homes in Louisville,KY

Thanks for everyone's comments! I am fairly new to Active Rain and really enjoy reading various posts and getting tips. Hope everyone has a great weekend!

Nov 19, 2011 03:10 AM
Justin Dibbs
Fairway Independent Mortgage - Ashburn, VA
Mortgage Advisor

You've put together a good list.  Focusing on a specific area is especially important in my opinion.

Nov 19, 2011 02:47 PM