Nobody wants to sabotage their chances of getting a home but there are subtle ways that homebuyers might be doing this these days of they don't even know about. The last thing you want is to get all the way to closing only to find a huge error or mistake that could've been prevented weeks earlier. I try to prepare my homebuyers through every step of the process and tell them to be honest about financing, realistic about their requests on inspections and unemotional throughout the process, as hard as that might be. Here are some basic things that I have found that homebuyers can do to sabotage their own home purchase.
Not being completely honest about their financing.
Homebuyers need to be completely honest about their financial situation with their lender and the real estate agent. Everything will be discovered eventually when lenders and underwriters look into a financial statement but it's just best to be upfront from the beginning. Are you behind on any payments? Do you have a lot of debt? Have you only had your job for six months? These are not things to be embarrassed about but details to really be honest with your lender or your loan officer about. You wouldn't want any of these items coming up at a later time or, at the very worst, at closing, so it's best to lay all of your cards out to begin with so that your lender and loan officer can help you with the best program or loan for your situation.
Not thinking ahead.
Many homebuyers, especially first-time buyers, get so emotionally invested by looking at homes that they don't step back and take a realistic look at the long term. Are you planning on being in the home for three years? Five years? 10 years? You have to think about resale value, especially if you're planning on selling the home at some point in the future and either downsizing or upgrading. Will this home meet your needs not only now but in the future? Will your family status change? Will you need more space or less space?
Related: How to find out everything about a property
Not understanding all of the costs involved.
Buying a home is more than simply the mortgage payment. When you decide to purchase a home you'll need to come up with out-of-pocket inspection costs, and earnest money deposit which is typically 1 to 3% of the purchase price but can be as little as $500, downpayments and any additional costs that might come along. Once you purchase the home, you not only will have the mortgage payment but you'll have interest, insurance and taxes plus any homeowners association fees if you are part of an HOA. These are all costs to consider in deciding whether a home purchase is the right move for you at this time.
Making too many lowball offers.
I've dealt with many clients that just want to make a lowball offer over here and then over there just to see what sticks but the problem with that is you're not only wasting your agents time but your time is well and the listing agent and seller of the property. It's best to find a home you really love and the negotiate on the best price that works for the buyer and the seller.
Read more: Don't Buy Real Estate Without Knowing This
Going in blindly without a buyers agent.
This should be my number one issue that I have with homebuyers because so many homebuyers, especially first-timers, have no idea how to buy a house and they don't understand that using a buyers agent that works solely on their behalf is completely free. The agents get paid on the sale of the home so it doesn't matter to the buyer which home you purchase as long as you love the home and they can negotiate for the best price and the best terms for you. Too many homebuyers go with the listing agent, whose sole responsibility is to sell that property at the highest price. Why would you have an advocate on your side?
Don't sabotage your next home sale. When you're ready to get started feel free to contact me for all Columbus area real estate, expert buyers agent care and top-notch representation.
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