Unrealistic Expectations First-Time Home Buyers May Experience

First-time home buyers would be better prepared to buy a house if they received up front education on the realities of buying a home. This would help them to be better prepared to handle buyer situations such as: falling in love with a house and then lose the bid after making an offer.  One of the ways to prevent this problem: realtors need to have a frank discussion with their client explaining the realities of competition and the amount of money it takes to become a homeowner. Buyers need to become more realistic about what to expect as a home buyer:

Home you fall in love with is not perfect – Number of houses available for sale is currently low. If you view the home as being perfect, there is strong possibility there will be multi-offers for the property. Buyers need to be willing accept the fact they may need to make repairs or be willing to accept a home further away from their preferred location. Also, need to accept the fact we are in a sellers’ market, and they cannot expect the seller to fix everything. At the same time, buyers should not agree to bypass a home inspection, because this could lead to a major financial mistake.

Getting mortgage after you find a home – In today’s market this is not a wise approach. To be successful with your house hunting, be prepared to move quickly. First, get preapproved to prevent suffering preventable failure. It is critical to contact your financial institution first, lender will put you in the best position to purchase a home. If you do this task first, you will put yourself in a competitive position competing with other buyers.

Sales price greater than listing price – Even though there are signs the housing market is cooling, offering less than the asking price may not be a good approach if you ready want the house. In this market, buyers need to offer equal or greater than the listing price. In addition, there are sellers that are pricing there home low because they think there is strong chance buyers will get into bidding war to purchase their property. Buyers need to be prepared to make a competitive offer and at the same time be firm on how much they willing to offer.