How to Lose a House in 10 Days
Home buying is arguably one of the most stressful purchasing experiences as an adult. Unfortunately, there are myriad of issues that can make a deal fall through. Here are 10 ways you could lose your dream home, and how working with an experienced agent – like the DiVito Dream Makers – can help you avoid them:
1. You don’t have enough saved up for the down payment
In addition to closing costs, there can also be unexpected fees around every corner. Make sure you have extra money set aside – in addition to whatever you plan on putting down for your house.
2. You don’t have your ducks in a row
Staying organized is essential when you’re house hunting. Are you serious about the bid you’re putting down? Make sure you’re aware of all deadlines, contingencies and paperwork involved.
3. You’re shopping way out of your budget
As Andie Anderson puts it in How to Lose a Guy in 10 Days, “You can’t lose something you never had.” Looking for houses priced outside of your budget is the first way to “lose a house.” Pre-plan for putting in an offer above the asking price. You may have to look at homes listed a few thousand below your budget to create padding in your budget to make a higher offer.
4. You lose a bidding war
Quick, decisive, assertive – these are all traits necessary to win a bidding war. Working with an experienced RE/MAX agent – like the DiVito Dream Makers – who can negotiate on your behalf is a great way to ensure you play your cards right. Remember, all is fair in love and [a bidding] war.
5. You come down with a bad case of buyer’s remorse
What’s the most obvious symptom of buyer’s remorse? Cold feet. Sales contracts fall through all the time because buyers back out at the last second, succumbing to the fear of such a life-altering decision. Keep your wits about you, and trust your gut.
6. You close too slowly
Sellers are trying to get sales contracts through as swiftly as possible. In this climate of high demand and limited inventory, there will almost always be someone competing with you for your potential future home. If you really want it, then work hard to satisfy the seller by making things official as soon as possible.
7. Your inspections aren’t timely
Speaking of closing quickly, inspections take some time. If you’re lucky, then you’ll only need one inspection. But if an inspector discovers any problems, then you’ll have to start making appointments with specialists to look further into the house’s issues. This is a race against the clock, limited by the time frame set out in the contract. So, don’t waste any time getting the inspections going!
8. Your seller isn’t happy with their appraisal
An appraisal that comes in lower than anticipated is always taken by the seller as a personal blow. This proves to be an issue for the buyer, too. Either the seller will become difficult or, even worse, you’ll have to pay the difference between the appraisal and the sales price out of pocket. Keep communication open and diplomatic with the seller, when frustrations are running high.
9. You can’t secure a mortgage
You’re so close to the finish line but then your mortgage application is declined. How do you avoid this? Apply for pre-approval so the seller knows you can buy their home, or get pre-approved before even browsing for homes.
10. You don’t have an agent on your side
None of the above issues are simple. Having someone on your side who knows the ropes of the home-buying process is the most valuable tool in your home-buying box. Call one of the DiVito Dream Makers to help you with the most important purchase of your life!
Article originally appeared on RE/MAX.