According to CoreLogic, an information an analytics company, approximately 37% of all US homes sales in January 2017 were paid in cash. Cash buyers avoid private mortgage insurance, interest and some closing costs. Cash purchases tend to go much quicker. Sellers typically find an "all cash" offer more attractive because they don't have to worry about financing falling through. However, mortgages sometimes make more financial sense. If you end up financing a home's purchase, you need to know what to avoid when buying a Westfield home.
What to Avoid When Buying a Westfield Home
Waiting to Secure Financing - When buying a Westfield home, the very first step you need to make is securing your financing. This takes the most time. Being pre-qualified isn't the same as being approved, either. Many Sellers want to see an actual approval letter along with your offer. Otherwise, they might move on to the next Buyer in line. You don't want to find the perfect Westfield home just to lose it because you can't get financed for it.
Using an Unreliable Mortgage Company - Beware of fake or disreputable mortgage companies when buying a Westfield home. Talk to your friends, family and Westfield REALTOR@ for recommendations. A Seller may reject your offer simply based on the mortgage company you use if it is of a questionable nature. So, this is an important factor to keep in mind.
Lowballing - We all enjoy a good bargain. However, submitting a lowball offer might insult a Seller. If you live in a Seller's market, this could be detrimental to buying your dream home. Some Westfield luxury homes have been selling for more than their list price. If you come in too low, the Seller won't even entertain your offer to begin with. Discuss an appropriate price with your REALTOR@ before submitting your offer.
Purchasing Big Ticket Items While in Escrow - I can't stress this enough. While in escrow, do not buy any big ticket items, especially on credit. That Westifeld home is not yours until the final paperwork is signed and the keys are in your hands. A new home might require new furnishings, drapes, carpet, appliances, etc. You're excited and can't wait to get started. But purchasing these before you close on your home changes your financial profile and might affect your credit score. I've seen escrows fall through because of this. Don't let it happen to you. Be patient. You'll have time to do all of this after your escrow closes.
Bike MS NYC 2017 - Team Guys & Dolls
Finally, I wanted to remind you about Bike MS NYC 2017. Do you love to ride? Join Team Guys & Dolls as they participate in the Bike MS NYC 2017 this October. There is still plenty of time to train with us. If you can't join the team, please consider supporting us with a donation. Help us reach our goal of raising $5000 for the Multiple Sclerosis Society. Visit the Team Guys & Dolls Bike MS NYC 2017 page here for more info on joining the team or making a donation. Thank you.
Originally posted on my Westfield Area Luxury Real Estate blog here: http://www.luxuryhomesnj.com/westfield-buyer-tips/what-to-avoid-when-buying-westfield-home/.