Buying a home is an exciting, emotional, and stressful project. Whether you have purchased a home before or are preparing to buy your first one, you don’t want to let your emotions make the decision for you. The following are pitfalls that can be costly, and you’ll want to avoid them.
Falling in Love at First Sight
Don’t fall in love with the first house you see and determine to buy it no matter what. You could end up overpaying for the property. Or, after the sale, you may discover costly repairs that will negate any profit from a future resale. Or, if you lose out to another bid, the disappointment can lead some people to feel like nixing their home search altogether.
Many real estate agents suggest their clients look at a few houses before making an offer or entering into a contract because we have witnessed buyer remorse when clients insist on buying the first or second home they see. We also know how devastating it can be when a homebuyer sets their heart on one property and then loses out. With several good options on the table, the impact of losing out on one of them is always lessened.
Always Looking for a Better Deal
These buyers are just the opposite of the love-at-first-sight crowd. They think there is always a better deal than the one they just saw, or they hope the price will drop on some of the homes they have liked.
While it is possible, it is highly unlikely, especially in a hot real estate market. If you pass up a good deal just because you think the owner is going to drop the price later on, you are giving another buyer the chance to snatch it up. If a home has all you want, is in the right neighborhood, and is priced well, you better buy it before it’s gone.
Paying Too Much for the “Perfect” Home
It is highly unlikely there is any such thing as a perfect home, but sometimes buyers believe they have found one.
When this happens, the buyer acts on their emotions because they will do anything to get that house. When you buy a home, you always need to know you can resell it without losing money. Unfortunately, when people find what they believe is the perfect home, they will often bid high to ensure their offer is accepted and in the process may overextend themselves financially.
Making Unrealistic Offers
The opposite of the over payer is the low bidder. There is a big difference between negotiating a price with a seller and offering an unrealistically low price. Discuss this with your agent before you wind up alienating the seller and possibly the chance to buy the property. Making a realistic bid that is good for you and the seller is the answer to getting the property you want.
Shopping with your emotions rarely yields a good deal. Listen to your real estate agent’s suggestions, look at several homes, and then make your decision. Once you have your home, don’t look back. Enjoy this home and make improvements. You will be one step closer to your dream home.
Not Working With an Empathetic Real Estate Broker
As real estate professionals, we wear a lot of hats. Aside from the more obvious things – being great with research, numbers and negotiating – the best real estate brokers are those who can help their buyers navigate the emotional side of a home purchase successfully.
When choosing a real estate broker, look for those who are skilled in this area – reviews are great to help determine this – and your home purchase will be a lot less taxing on you and more successful to boot.
Considering buying or selling a Waterloo Region home? Let Team Pinto use their huge local real estate experience and expertise to help you. Contact the award-winning Team Pinto here, or book a free Zoom consultation to discuss your unique Waterloo Region real estate needs here