Putting The Cart Before The Horse When Buying Real Estate
Gloria Todor makes a few good points in explaining why it's important to take each home buying step in the right order. Along with her explanation, I'd like to mention a couple more reasons to not "Put the cart before the horse." Potential home buyers can be the most productive for themselves if they focus on property that can feasibly be theirs if they decide to buy it. They must both want it and be able to own it, and looking outside their target range, above or below, is not helpful to them or the agent representing them. Also, many homes are occupied and sellers need to make an effort to get out of the way when someone wants to see their home. They expect the persons touring their home to have an interest in buying homes like theirs, including the ability to buy if they like the home. Not putting the cart before the horse makes sense for all parties involved. Buyers, your first step is to see a finance professional.
Putting The Cart Before The Horse When Buying Real Estate
You probably know this expression “putting the cart before the horse”, well this is one way to describe a buyer who wants to start seeing houses before they have been pre-approved by a lender. Sure as a buyer you might have some idea of what you can afford, but until you talk with a professional, go over the closing costs and find out what you can afford for a mortgage, you are putting the cart before the horse.
Yes looking at houses can be fun. Open Houses are a great way to see houses on a whim. But don’t be surprised when an agent does not want to show you properties if you are not pre-approved by a lender.
WHY? You might ask. Well agents need to make a living just like everyone else and if they give a lot of time to a buyer who does not know their true buying power, then that buyer is taking work hours away from that agent who could be helping other buyers with pre-approval letters and are ready to place an offer the moment they visit the house of their dreams.
“Yes, but I have to start somewhere, and I want to look at a few houses first” You might say. Well you may get lucky and find an agent who will show you a few houses initially, but you run the risk of finding the house of your dreams and by the time you find out you can afford the house, another buyer with their ducks in a row might sneak in and buy the house before you. Or you might find out, that house is way beyond your means. Unfortunately, either way, a buyer tends to compare all other houses they see from that point on to that house that got away.
So be good to yourself and get that first step done by getting a pre-approval letter, by having a FREE CONSULTATION with an agent and a lender. Once you have this letter in place it can easily be updated.
(Written by Gloria)
Putting The Cart Before The Horse When Buying Real Estate
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Doug Durren and Gloria Todor, Realtors®, SRES®
CENTURY 21 Absolute Realty
Serving Delaware County, Pennsylvania and Surrounding Areas
Doug 610-909-0687 Gloria 484-431-3686
610-328-4300 x131 Office
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GloriaTodor@Century21.com
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