3 Deadly Mistakes Every Homebuyer Should Avoid

Deadly Mistake #1:

Thinking you can’t afford the home your really want. Today, buying the home of your dreams is easier than ever before. Many people who thought that buying the home they wanted was simply out of their reach are now enjoying a new lifestyle in their dream home. Purchasing a home is the smartest financial decision you will ever make and it’s always an investment in your future. In fact, most American and Canadian home owners would be financially broke at retirement if it wasn’t for one saving grace – the equity in their homes. Mortgage internest rates are at an all time low and tax allowances favor home ownership. Real estate values have started to rise back steadily. Of course there are peaks and valleys, but the long term the trend is a consistent increase. This means that every month when you make a mortgage payment the amount that you owe on the home goes down and the value typically increases. This owe less-worth more situation is called equity build-up and is the reason you can’t afford not to buy.
Even if you have little money for a down payment or credit problems, chances are that you can still buy that new home with the right lender on your side. It just comes down to knowing the right strategies, and working with the right people.

Deadly Mistake #2:

Not hiring a professional buyer’s real estate agent to represent you. Buying property, a house or building is a complex and stressful task without a doubt. In fact, it is often the biggest single investment you will make in your lifetime. At the same time, real estate transactions have become increasingly complicated. New technology, laws, procedures and competition from other buyers require buyer agents to perform at an ever-increasing level of professionalism. For many homebuyers, the process turns into a terrible, stressful ordeal. In addition, making the wrong decisions can end up costing you thousands of dollars. It does not have to be this way! Work with a real estate agent who has a keen understanding of the real estate business and who is on your side. Agents have a fiduciary duty to you. That means they are loyal to only you and are obligated to look out for your best interests. Real Estate agents can help you find the best home, the best lender and the best inspector. Best of all, in most cases, the agent is paid out of the seller’s commission, even though he/she works for you. Trying to buy a home without an agent at all is, well… unthinkable.

Deadly Mistake #3:

Not getting a professional home inspection. Buying a home is probably the most expensive purchase you will ever make. This is no time to drop your guard and try to save money by skipping the home inspection and proper environmental testing to go along with it. A home inspector is a certified individual hired to evaluate all your home’s major systems and components. Their conclusion and report can be a very effective tool in the home buying and bargaining process. Nowadays, you can never be fully sure that a full property disclosure lists all the property’s past problems. You certainly don’t want to move into a home and have unforeseen damages start to arise. As an added service, most home inspectors can test for certain environmental conditions such as a high Radon gas content and allergy inducting mold. This can definitely make your new home purchase a very un-healthy, as well as a very un-safe one. Trying to buy a home without a complete home inspection is by far the biggest mistake.