$40,000 is how much you could pay if you make a mistake when buying your next home.
Learn from other home buyers’ mistakes here so you can avoid issues with the next home you buy. Otherwise if you make these mistakes you could be paying tens of thousands of dollars to fix them.
You can avoid these expensive mistakes when you buy your next home very easily. These 9 common mistakes can be very costly however they are easily avoidable with a little understanding that you can get right here. Let’s talk to Adam of Jamison Engineering for a good example of an expensive mistake a home by a maid that could have been avoided.
“I recently gave a new homeowner a quote over $40,000 to repair a structural issue in the basement of the house. Adam continued “a $250 engineering report during the inspection. Performed by us or any engineer in fact would have uncovered the issue and allowed them to negotiate. This would have saved them the $40,000 bill.”
Buying a new house is very exciting, involves a lot of money, so you must not make expensive mistakes.
Going out into the market finding that dream home, putting a bid on it and ultimately moving in is a very exciting period in anyone’s life. It’s all too easy to get caught up in the process and get your mind set on one house this excitement could cause you to drop your guard or misstep we want to help you avoid these eight come in Expensive mistakes.
My question to you is 2 minutes of your time with $40,000?
Expensive mistake #1 to avoid when buying a house.
Don’t make the mistake when buying your next home of not setting a budget.
When you are buying a next time it’s very important to understand what you can afford. You should take a good look at your financials before you head out looking at properties. It is a very common mistake for people to fall in love with the house that is outside your reasonable budget period this mistake can lead to added stress and heartache. Ultimately if you go through with the purchase it could end up in a really bad financial situation. So, spend some time do some research workout what you can comfortably afford on a monthly basis. Also don’t forget to budget for unseen repairs that may need to be done in the future. For example, if the water heater breaks or you need a new dishwasher.
Mistake #2 to avoid is make sure you have a good reason for moving.
Moving to a new house is very expensive . It costs a lot of money time and mental energy.
Next to the amount of money it cost to move there is a very large emotional tole placed on a person when they buy a new home therefore you need to be moving for the right reasons. If you want to move because the interior color of your house is wrong, then you might consider just painting the inside. Don’t make the expensive mistake of buying a new house without understanding your reason for moving. Your reason for moving may be for a new job, maybe you are downsizing, or you’re blessed with a new family member so upsizing. Those would be good reasons, in my mind.
Buying to quickly and not being patient can be an expensive mistake when you buy your next house.
Buying your next house is a huge undertaking . Ideally you will be there for a long time. So, take your time and make sure the house you buy is well priced and meets your needs.
Once you understand your reasons for buying a new home you should create a list of what your new place needs. A list of must haves and likes will help you compare homes that you see in an objective manner. For example, you must have 3 bedrooms and you would like 3 bathrooms, but you must have 2 bathrooms. Once this is clear then take your time to find a house that meets these criteria. Understand that finding a house can take some time so be patient. If you are not patient, you could end up overpaying significantly for a house or buying the wrong one . Both of those scenarios would be very expensive mistakes indeed.
EXPERT INSIDER KNOWLEDGE:
When finding your new home use your network. Send out messages on Facebook , ask people at your work if they know someone who is looking to sell . It’s amazing how often A person can find a new house just by doing a little bit of networking.
Mistake number 4 you must avoid when buying your next house is not being flexible.
you have created a list of must haves and would like and that is very important when you buy your next time it will help you avoid many mistakes.
however, it’s also very important to know when you can Binda little and that you are willing to. The earliest dip of understanding why you are moving will give you a good appreciation 4 the items in your new home that you must have . By all means make sure you get those but also be realistic about finding that perfect house if you are not flexible you may pass Oh no potentially wonderful new home that is a great price . Go into every home with an open mind and you will avoid the mistake of passing on your next great house.
The next mistake you must avoid is not being open to ideas. Costly Mistake number 5.
You hire real estate agent for reason, right? They are professionals and may be able to see what you can’t be open to their ideas and never say never.
Being open Two ideas can be difficult. Sometimes we get stuck on Certain items . It is important to be able to visualize what each house can and can’t do for you . Being able to imagine what the future holds to some degree can Help you be open Two changes that may occur and other ideas . Being open Two ideas will help you avoid more costly mistakes when buying your next home. For example, maybe there is construction going on nearby right now but if you dig a little deeper it might be your favorite supermarket or restaurant. Don’t make the mistake when you buy your next home of not being open to ideas. it could be very costly in the long run .
Working alone is mistake #6 that could cost you a lot of money when you buy your next house.
Buying a house is possibly the largest financial transaction you will undertake so unless you have a lot of experience it would be wise to work with a real estate agent or some other real estate professional.
a real estate agent has a fiduciary responsibility to make sure you are represented when you buy a house . There is a lot of legal jargon That must be processed in the contracts and if you sign a contract it is binding you must be sure the contract that you signed represents what you want . Imagine signing a contract and then finding out when you buy someone’s house that after paying them the sales price you then must pay them an additional $20,000. Believe it or not a contract could say that . It’s not likely but it could. If you are working alone and you miss that you just lost $20,000 . That is a huge expensive mistake you do not want to make when you buy you next time . The way to avoid this is using a real estate agent or professional that is on your side and looking out for you.
Mistake #7 when buying your next time that could cost you a lot of money is choosing the wrong real estate agent.
like any industry there are good people and bad people working within it . The real estate industry is no exception.
When choosing a real estate agent to represent you be sure to ask around about their reputation . Ask them for references , look at reviews on google about them . When creating a short list of real estate agents to interview ask for refills from family or friends . Maybe they know someone that they had a good experience within the past. When you sit down and talk with an agent be sure to ask them plenty of questions . Make sure they have good answers for those questions and make sure you’re comfortable with that person. The real estate agent that you used to buy your next house will influence your decision So if you choose the wrong agent it could be a costly mistake maybe they will push you into the wrong house. on the other hand the great agent will understand what it is you need will understand the local markets they will have their finger on the pulse and do a great job for you and find your next wonderful house.
REAL ESTATE AGENT PROFESSIONAL TIP.
It’s really important that when you choose a real estate professional to represent you, they have really good local knowledge. For example, in Denver, Colorado there are many neighborhoods. each neighborhood of Denver has different immunities and services . Therefore, what a house is worth in Lakewood will be different to what a house is worth in Littleton. These are both neighborhoods in Denver. we are local to Denver and we buy houses in Denver regularly. we drive the neighborhoods and we see what is happening all over the city . I would highly recommend the person that helps you buy your next home can Answer specifically what is happening in the area that you want to purchase your next home in . This will help you find a great home at a great price.
A very expensive mistake you can make when you buy you next time is not fully inspecting your potential new home for problems. Mistake #8.
performing a Sarah inspection On the House you’re about to buy is imperative. hiring a well-reviewed and speak to will ensure any costly repairs to the structure of your new house will be identified.
from this inspection you will be able to determine if you need more specialized help in understanding issues with the house you are thinking to buy. think back to earlier in this article when A $250 engineering report would have helped an unfortunate buyer avoid a $40,000 structural repair that was required on their new home. inspecting your new house thoroughly with solid professionals will help you avoid expensive mistakes.
Last mistake we would like to talk about today when you buy your next home that you must avoid is being too emotional.
mistake #9 can be avoided if you create a good plan, understand what it is you need in your new home, have it written down, and then sticking to it.
it is very easy to become emotionally involved when you buy your next house, and this could be very costly to you. Of course, this is the place you will spend a lot of time at it makes sense that certain houses will pull on your emotional strings . Be sure to stick to your guns and go into each home knowing that there will be another one it may not seem like it at the time but if you are patient and your objective about buying a house to a large degree you will find a great home and you won’t make any costly mistakes.
Final word on avoiding expensive mistakes when you buy your next house.
Now that you are aware of these expensive mistakes you could make when you are buying your next house be sure to heed them , go out and enjoy buying your next house.
if you are ready to buy your next house finding a good real estate agent to help you do so will ensure you don’t make any expensive mistakes. a real estate agent’s job is to represent you throughout the entire process . This includes finding and showing you houses for you to buy. Helping you understand the value and what the new house is worth and how much you should bid. helping you navigate the counter offers and the detailed contracts that will repeatedly be pushed in front of you. the real estate agent is there to hold your hand through the inspection period. During the inspection. They will help you determine what you should ask to be repaired how much it could cost and how to negotiate with the home seller.
Buying your next time is a very exciting thing to do . Learn from these mistakes. By doing so you can go forward and enjoy buying your new home knowing that you will avoid these expensive mistakes.
Good luck and happy homebuying we wish you all the best.
Bonus material: 3 tips to negotiate like a pro.
When buying your new house there will be a period for negotiations. Use these 3 tips to help you buy your next house at a great price and on your terms.
Home Buying Negotiation Tip 1: Closing the deal too quickly.
Have you ever negotiated a deal and felt an uneasy feeling in your stomach afterwards? this uneasy feeling in your stomach is often due to closing the deal too quickly. When negotiating for your next house be patient, take your time and don’t be afraid to counteroffer on multiple occasions. You never know the situation the home seller is in. Imagine this scenario. you just put an offer on a house and the sela came back asking for a little more money. what do you do? did you know there is a possibility the person on the other side of this deal has told their Real estate agent…
“I really need to sell my house fast, so you have make this deal happen”
If this is the case if you take your time it will add pressure to the home seller and will lead to further concessions so they can get their house sold quickly.
Home Buying Negotiation Tip 2: Determine what You are willing to concede before you must do so.
In fact, on the initial contract or offer that you seem to the person selling their house you could potentially include things that you don’t really even want . By doing so you are then able to concede these IE give the seller something in return for them giving you something what you are giving them you don’t even want. now that’s negotiating like a pro.
Home Buying Negotiation Tip 3: Be confident, be Patient and be willing to walk away.
Any professional negotiator will tell you being confident, being patient and not being tied to the house emotionally will instantly put you in the driver’s seat. believe it or not the person on the other side of the negotiation Will be able to feel this. a simple example of being patient is not responding to any counter offers immediately. being confident can be achieved by understanding what it is that you want in a property and how much you are willing to pay for it. we spoke about these in the costly mistakes to avoid so you are already well ahead of the curve.
do plenty of research on buying a house how to negotiate what the house is worth in your neighborhood where you want to purchase and have fun with it.
stay safe and thanks for your time.