Purchasing a new house is a major milestone, so it is not a surprise that people get carried away by the very importance of that decision, and miss out some seemingly less meaningful details. Finding a dream house simply can’t be a love at first sight; sooner or later the dream will become a nightmare. It doesn’t matter if you are buying an historic property or a brand new never-lived-in property, you can’t go into the purchase recklessly. Here are some things you should know before signing a binding contract.
Find a Trustworthy Realtor
Choosing a good realtor can be hard. There are thousands of realtors across the country, but their number is the least of your concerns. Realtors get a cut of the sales price of the home, which can increase the price. Since the seller is the one who pays the commission, the buyers should be cautious about whose interests are fairly represented. That’s why you need a trustworthy realtor who works to protect your rights and negotiate a better price.
Don’t Sign Everything Instantly
So, you’ve found your dream home? That doesn’t have to mean the contract is dreamy too. Don’t put your signature on anything you haven’t read carefully. It would be even better to consult a legal expert or a realtor about it. Contracts can be negotiated, and you can include new conditions, such as random inspections and a mortgage approval.
Conduct a Pre-Purchase Inspection
Inspecting a building before purchasing is of utmost importance, especially if you are buying an old historic property, which can have serious problems with steel pipes, unstable foundations, etc. Pre-purchase inspections are used to identify the issues and safety hazards associated with the properties. Not only can these findings help you negotiate a better price, but they can also prevent you from making the mistake of buying an unsafe property.
It’s a Long-Term Decision
Buying a house is not like buying a new pair of boots. You won’t go out and buy a new one when the first pair is worn out and small. When searching for a new home, keep in mind that you are not purchasing it only for the life you have today, but also for the future. From the financial point of view, this implies thinking about your career progress and mortgage paying capacities. Design and size-wise, that means considering the prospects of forming a family in the future.
Be Skeptic about Half-Finished Developments
Half-finished properties may be a great way to get a better deal and save a lot of money in place of having some patience. Still, you should have a healthy-dose of skepticism about these sorts of buildings. There is a possibility that it will take much longer time to finish the house than you originally thought, or even that it won’t be finished at all. In the end, you can end up stuck with an unsellable and unlivable property. Be sure to ask specific questions about dates, number of sold houses, etc.
You’re Buying the Neighborhood Too
The house may look, feel and cost perfect, but that will not be important the very first night when your neighbors play loud music, when there is a robbery or when you realize that the commuting time to the office is simply overwhelming. The reputation of the neighborhood will largely impact the value of your home once you decide to list it for sale. Essentially, the ideal home should have access to shopping venues, recreational activities, hospitals, good restaurants and bars, arts and culture.
In the end, take your time. Don’t feel pressed to make an offer for the first house you see. This is a major decision and you’re entitled to think every offer through, until you find the one that meets your needs best.