Common Buying Mistakes

Looking for a house without getting pre-approved by a lender:
When you are pre-approved, you are effectively a cash buyer. This makes it much easier to negotiate with the seller. Do not mistake pre-approval with pre-qualification; pre-qualification is only the first step in gaining pre-approval. Ask your Banker or REALTOR for details.

Failing to check out the neighborhood thoroughly before buying:
How do traffic patterns change depending on the day, or even the time of day? Are there any future developments in the works? Is that nice green space down the road actually zoned for high-rise development? Ask around - check it out first. A good starting place is the town hall.

Making an offer based upon the asking price, not the actual market value:
Do your homework. What have similar properties sold for in the immediate area? How long were they on the market? How does this one compare? Is it over-priced, under-priced, or fair value? Ask your REALTOR for an up-to-date market summary.

Letting "first impressions" affect your decision too much:
There are entire books written on how the first impression of a home is the single most decisive factor affecting many purchasers' decision to buy. Don't let bad décor or messy housekeeping scare you away from a structurally solid home that meets all your needs. Remember, you are buying the house, not the furnishings.Assuming that the Bank's quoted mortgage rates are written in stone: Like many industries, banks are experiencing increased competition and are often willing to negotiate mortgage rates. Depending upon the market, profit spreads and your credit rating, it is sometimes possible to negotiate substantial savings. Ask your Banker or REALTOR© for details.

Not shopping for home insurance until you are ready to move:
If you wait until the last minute, you will be rushed into finding insurance. Allow time to shop around and get several quotes for the best deal. Begin this process once you are firmly under contract.Making verbal agreements: Always put your offer in writing. Not only is a written offer or contract more enforceable than a verbal one, it shows the seller that you are serious about purchasing, not just floating ideas whimsically.

Not knowing your rights and obligations:
Your lawyer is a good source of information concerning your rights and obligations as a buyer; make use of their expertise and resources.