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8 Simple Secrets to Avoid Costly Mistakes Buying Your Dream Home |
So you've finally decided to buy your next home.
Problem is while you were making up your mind, other fence sitters
jumped into the home market too. Now you may be facing some
competition for the best properties. What to do? Just because there
are other buyers in the market doesn't mean you can't come away with
your dream house. But to be a successful buyer in today's real
estate market you're going to need help.
Your first best move is to know a few inside tricks. As experienced
real estate professionals we have many more than eight ways to
increase your chances of landing a prize property despite heavy
competition. The following tested tips will increase your market
savvy and sharpen your competitive position. Then you'll be ready to
act quickly the minute you see that perfect house. |
Step 1: Get Pre-Approved |
To be pre-approved for a mortgage loan is your
first step. You will go through what amounts to a mini-application
process (paperwork, credit check, etc.) prior to shopping for a
house. Pre-approval is more effective than pre-qualification, which
only gives you a rough idea of the amount a lender will lend you
assuming no hang-ups in the credit and income checking process. When
you are pre-approved, it's like carrying around a suitcase full of
money. In the eyes of the seller, pre-approval makes you a very
desirable "cash" buyer. That's a real advantage over another buyer
whose financing is uncertain. |
Step 2: Beat the
Competition to the Newest Listings |
Once you know your specific price range, your
real estate agent can regularly do a computerized market sweep for
new listings. You should receive a hot list of attractive properties
as they come on the market. This will give you a head start on other
buyers because you will get the listings before they are advertised.
Timing can be a vital part of your home buying experience. |
Step 3:
Do Your Research |
Make yourself a "value expert" by investigating
local properties to get an idea of price points,
listing-to-sale-price ratios, hottest areas, and best places for a
bargain. Once you know what your money will buy, your real estate
agent can add up-to-the-minute knowledge of what comparable
properties sell for in specific neighborhoods and what impact
specific features have on price. Working with a good agent will
guarantee you the best price and terms. |
Step 4: Have your Agent Present the Offer
in Person |
Nobody wants their offer lingering on a fax
machine in the listing agent's office while other buyers are putting
offers on the seller's kitchen table. When the situation calls for
that personal touch, you'll gain an advantage by having your agent
present your offer in person. He or she may pick up critical
intelligence on any competing offers by being on the scene. |
Step 5:
Prove you Mean Business |
An excellent way of showing the seller you are
serious about buying the house is to include a good faith deposit
along with the offer you make. This deposit could be as much as 5%
of the bid price and surely will attract the seller's attention. |
Step 6:
Stay Cool |
When deciding on your dream home you do not have
to over pay to get it. Sure, you may have to offer something other
than the asking price, such as paying some or all points,
inspections, closing costs, or offering a settlement date that fits
the seller's timetable. If you over pay now and have to sell your
house in the future it will be harder for you to get back equal
value. |
Step 7:
Keep It Simple And Clean |
You want to make sure that your contract isn't
sloppy or cluttered with contingencies such as repairs. Keep
contingencies to a minimum. Even better, offer to be helpful, take
care of repairs, order an inspection in 48 hours, or be willing to
take care of any required local certificates such as smoke detectors
and water safety. Be open and flexible to try to help accommodate
the needs of the seller. |
Step 8:
Don't be a Lone Wolf |
What you need most in today's market is
experienced professional guidance. As your neighborhood real estate
specialists we can help you get pre-approved, find a prize property,
and negotiate the best deal on your next home no matter how heated
the competition. Call us today. We'll help you be a cool customer. |