Costly Home Buyer Debacles to Avoid

Costly home buyer debacles sneak up on first timers as well as those who have been through the purchase process before. The truth of the matter is, there are some scenarios which cannot be avoided. Others however, can be, if you take proactive steps. For instance, there are ways to minimize post-closing risks, such as a lawsuit. You might miss out on the lowest interest rate or pay a bit more than the asking price but there are other home buyer debacles to avoid, if at all possible.

Best Home Buying Preparation Tips

Before you start house hunting, you should be amply prepared for the process. That means, having a down payment, plus money set aside for other expenses, like moving, earnest money deposit, inspections, closing costs, and so on. Going over all three credit reports well in advance is also a smart move because you’re likely to find errors. Damaged credit will pose a challenge but doesn’t mean you won’t qualify for a home loan.

You’ve clicked through hundreds of online listings, compared floor plans and square footage, and are eager to jump-start your search. But before you even think of setting foot in an open house, make sure you get a copy of your credit report. The cleaner your credit report and the higher your credit score, the more likely you are to be pre-approved for a mortgage at a low interest rate. —US News and World Report

When it does come time to actually start looking, if you are really interested in a house, be sure to get it inspected. In addition, you should shy away from For Sale by Owner properties. There’s too much risk and you could find yourself in the unenviable position of trying to get your good faith deposit back because you want to call off the deal.

Costly Home Buyer Debacles to Avoid

Whether you are a first time home buyer or have bought before, there are situations you don’t want to unwittingly invite. Of course, there is no guarantee something won’t unexpectedly pop up but you can take steps to help protect yourself. Here are some costly home buyer debacles to avoid when you are in the market to purchase a residential property:

  • Unpermitted work in the home. So, you found a great house and best of all, it’s recently been updated. The kitchen and baths look great thanks to the wonderful style. It’s a real eye-catcher but all that work should be verified. Ask the seller for permits if the home has been renovated, as well as the name of the contractor who did the work.
  • Seller(s) who have not moved out. If you think you can move into a house right after leaving the closing table, you’re probably right. However, this isn’t always the case. The seller move-out date should be in writing and agreed to by all parties. In a scenario where you agree to let the seller stay until a certain date, don’t expect him or her to leave prior to the agreed date.
  • Being hit with unexpected expenses. This wallet drain debacle surprises first time home buyers the most. They simply aren’t ready to fork over more cash but it’s typically a reality. The expenses can easily include a new lawn mower, window coverings, new locks, and more.
  • Discovering a pest infestation too late. Sure, you’re willing to pay out-of-pocket for a pest inspection. But, this doesn’t mean everything will be caught. There are instances where pest inspectors sincerely miss problems. If this does happen, it will take serious time and effort to rectify.
  • Learning about the neighborhood too late. Remember when your buyer’s agent told you to check out the neighborhood? Or, strongly advised buying into a good neighborhood should surpass the actual house? You don’t want to learn about the neighborhood after you’ve moved in because it could hold unwelcome surprises.

If you are considering buying or selling a home in Orlando’s Hunter’s Creek, or another community, contact us for the latest market information. We will help you find the right property.