THREE DEADLY MISTAKES EVERY HOME BUYER SHOULD AVOID
April 30, 2009 6:57 pm Helpful tips
Deadly Mistake #1: Thinking you can’t afford it.
Today, buying the home of your dreams is easier than ever before. Many people who thought that buying the home they wanted was simply out of their reach are now enjoying a new lifestyle in their very own new home.
Buying a home is the smartest financial decision you will ever make. In fact, most American home owners would be financially broke at retirement if it weren’t for one saving grace - the equity in their home. Furthermore, mortgage rates are more flexible today than ever and tax allowances favor home ownership.
Real estate values have always risen steadily. Of course there are peaks and valleys, but the long term the trend is a consistent increase. This means that every month when you make a mortgage payment the amount that you owe on the home goes down and the value typically increases. This “owe
less/worth more” situation is called equity build-up and is the reason you can’t afford not to buy.
less/worth more” situation is called equity build-up and is the reason you can’t afford not to buy.
Even if you have little money for a down payment or credit problems, chances are that you can still buy that new home. It just comes down to knowing the right strategies, and working with the right people.
Deadly Mistake #2: Not hiring a buyer’s agent to represent you.
Buying property is a complex and stressful task. In fact, it is often the biggest single investment you will make in your lifetime. At the same time, real estate transactions have become increasingly complicated. New technology, laws, procedures and competition from other buyers require buyer agents to perform at an ever-increasing level of professionalism. For many home buyers, the process turns into a terrible, stressful ordeal. In addition, making the wrong decisions can end up costing you thousands of dollars. It does not have to be this way!
Work with a buyer’s agent who has a keen understanding of the real estate business and who is on your side. Buyer’s agents have a fiduciary duty to you. That means they are loyal to only you and are obligated to look out for your best interests. Buyer’s agents can help you find the best home, the best lender and the best inspector. Best of all, in most cases, the buyer’s agent is paid out of the seller’s commission, even though he/she works for you.
Trying to buy a home without an agent at all is, well… unfathomable.
Deadly Mistake #3: Getting a cheap inspection.
Buying a home is probably the most expensive purchase you will ever make. This is no time to shop for a cheap inspection. The cost of a home inspection is very small relative to the home being inspected. The additional cost of hiring a certified inspector is almost insignificant. As a home buyer, you have recently been crunching the numbers, negotiating offers, adding up closing costs, shopping for mortgages and trying to get the best deals. Do not stop now. Do not let your real estate agent, a rinky-dink inspector or anyone else talk you into skimping here.
The California Real Estate Inspection Association (CREIA) provides education, training and support services to its members and the real estate community. Only Certified CREIA Inspectors who have successfully passed a comprehensive written examination of the property system and who maintain 30 hours of continuing education each year may use the CREIA logo, indicating that the inspector has been tested and qualified to CREIA’s Standards of Practice and Code of Ethics. Most inspection services promote their business with brochures through real estate offices. Many claim their reports meet or follow CREIA Standards of Practice. Do not be fooled; look for the CREIA emblem on these brochures. Only inspectors who have met CREIA’s rigorous professional and educational requirements may qualify as a Certified CREIA Inspector and display the CREIA emblem. CREIA’s Code of Ethics requires a high degree of professionalism and integrity and that a Certified CREIA inspector act fairly and impartially. To find out more about CREIA please visit their website at www.CREIA.org. You would be very wise to utilize the skilled Certified CREIA inspector. They do more, they deserve more, and yes they generally charge a little more. Do yourself a favor…and pay a little more for the quality inspection you deserve.
Call me at 818-266-2267 or check our website link below for further details or any information on our home inspection services.
Shawn Blaney,
President,
West Coast Home Inspections
http://www.westcoast-inspections.com/
Home inspection for the home buyer can make your dream home a worry-free reality. This is our mission statement at West Coast Home Inspections.
Greg :
Date: April 30, 2009 @ 9:50 pm
Great article - check out questionsense.com they have some great questions and information about questions to ask when hiring a home inspector and a real estate agent!
http://www.questionsense.com/topics/hiring-a-home-inspector
http://www.questionsense.com/topics/selecting-a-real-estate-agent