It’s finally the moment you’ve been waiting for: you get to make an offer on a home you really want to buy! Don’t let your excitement or inexperience get the better of you. There are four big mistakes buyers are susceptible to when they make an offer on their dream home. Here’s what NOT to do.
Skip using an agent
There is zero excuse to not use a real estate agent. It doesn’t cost you a dime, since the seller pays agent commissions. Having no agent puts you at a disadvantage, and using the seller’s agent is a terrible idea and could be illegal in your state. Get an agent to sit on your side of the table and watch out for your best interests.
Waive the home inspection
The agent seems honest and the seller swears their home is practically like new, and they really just want to wrap the sale fast. Having to do a home inspection can drag out the process, but it’s a step you simply can’t skip. Bad plumbing, a patched roof, or poor electric wiring can cost tens of thousand to put right and you’ll only have yourself to blame.
Rack up new debt
You’re so excited about your new home because it has a two car garage which means there’s parking for your spouse, too! Before you go out and buy a new car, remember that your loan application is still pending and changing your debt to income ratio at this stage in the game could throw a wrench in the works. Wait until the ink is dry and you have the keys to your new home before going car shopping.
Shop before getting preapproved
Think you don’t need to worry about loan preapproval yet because you haven’t even found a house you like? What happens when you do find your dream home but Mr. and Mrs. Smith were preapproved and you weren’t? Get preapproved before you go shopping, and you’ll know exactly what your budget is and have proof for a seller that you’re serious about your offer.
Avoid these mistakes and increase your chances of having your offer accepted.
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