Helpful actions homebuyers overlook
Reader question: We sold our home last year to downsize, and rented an apartment for a year to try the lifestyle and give us time to consider what we would do next. We are now going to buy a home, but being out of the market for 30 years, we want to know: What are the big mistakes today’s homebuyers make?
Monty’s answer: Let us consider some items that can seem arbitrary at the moment
but later create remorse. These errors are most likely to occur after you have identified the home you want to own. They usually happen soon before a contract is negotiated, during negotiations, or during the due diligence period before the closing.
Here are some important events that get missed: Checking out the neighborhood: Before you make an offer, if there is a homeowners association check out the rules. Every state has a sex offender registry online, so use it. Drive the neighborhood and watch for anything that might warrant additional investigation. Talk with a neighbor or two.
Confirm lot lines: Ask the agent to show you the metal lot stakes, particularly the
rear lot lines. The stakes are most important when there are buildings, fences or other physical objects present. Checking out school districts: Even if you don’t have kids in school, school districts can impact home values because highly rated schools are in demand. Buying on the right side of the boundary line can mean better resale value. Thoroughly inspect the
home: Buyers either fear they may appear like a snoop or they think the inspector will do it for them. You should be flushing the toilets, turning on light switches, and watching for signs of insects or mice. Understand the scope of the inspection: The inspector’s job is to find issues that
materially affect the value of the property or contain certain unsafe conditions. The home inspector does not look for small imperfections.
Know where to go when your agent is not solving a
problem: If the agent is not helpful, notably if the agent created the problem, the person to speak with is the broker-owner or the designated broker managing the agent’s office. Shop for the right mortgage loan: While it is easy to talk to someone you know or you are aware of, they may not have the best product for your needs.