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Home buying mistakes to avoid
- Waiting and waiting: There is no "perfect time" to buy — except when you can. Don't wait indefinitely. There are several important factors other than the house's price to consider — namely the current interest rates, market trends, your needs and more.
- Impatience can lead to regret: Some rush into buying the first home they view. But what may seem like the perfect house today, may not be tomorrow. Sleep on it first. Ask for your friends' and family members' advice. There are plenty of homes out there for you.
- Using a crystal ball instead of your heart: Your home is an important investment, but it's also a place for you and your family to live. No one can say for certain how much home appreciation will take place. But, you will know your individual needs. Concentrate on satisfying those first.
- Be a smart buyer: So you've found the house of your dreams. Great! But try to keep your jaw off the floor when viewing it. Going ga-ga over a home right in front of the sellers or their agent might cause them to consider holding out for a higher price. Play it cool.
- Buying the wrong size: Families grow. Even if you're single this year, this may not be the case within a year or two. Consider something slightly — but not extravagantly — larger than your current needs.
- Excessively low-balling your offer: All of us love bargains. But if the sellers' market is doing well and you're offering 10% below the asking price, don't be surprised if you lose the home. See what nearby houses are going for and bid accordingly.
- Not getting it in writing: We've all heard this again and again, so why ignore it? If the seller promises to replace the home's aging shingles, get it on paper — signed!
- Not allowing enough time: Buying a home isn't the same as buying a car. If your rental lease runs out in one week, and you're thinking of buying a house and moving in before that happens, you'll need to rethink that plan. It won't happen that quickly.
Home Buyer Tip
Get pre-approved before you make your first offer
Your negotiating power increases substantially when your financing is pre-approved. In fact, many sellers will not work with potential homebuyers unless they are pre-approved.
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