No matter how prepared you are, sometimes the home buying process can throw you a few curve balls that are completely unexpected and in no way preventable. However, for most, the experience is completely worth it and one that they would do over again, but maybe not for a couple of years.
Home buying is an emotional experience on every level, but there is no way to predict how it will go because the chances of something going wrong can start right at the very beginning despite all good intentions. Some of the more common issues are:
Sellers can be unreasonable
Home inspections can uncover costly repairs
Lenders can reject your loan
The appraisal may not come in at the right price
But for most buyers, it’s not finding the right home, but paying for it that causes the most amount of stress. It starts when you sign the purchase offer. Buyers should always read the document carefully and go over with their real estate agent any questions or concerns they might have. When a purchase offer is ready to sign, buyers can often get stressed about its contents, so before you spend another sleepless night worrying about it, review it, write down any questions you have, and don’t sign until you are comfortable with its contents.
For other buyers, waiting for a seller to accept their offer is incredibly nerve-wracking. Unfortunately, there is not much one can do while a seller reviews the paperwork. It’s always a good idea to have your agent request a 24-hour response time. This way, the sellers can’t wait and entertain any other offers that may be coming as sometimes sellers will hope another better offer is one its way. But remember this, you will have your answer soon enough. In the meantime, understand that you cannot control the outcome as at this point, it is all in the seller’s hands.
And then, the good news! Your offer has been accepted. But now you discover that the inspection requires some expensive repairs that you, nor the seller, anticipated. This is where both sides often get testy, as everyone anticipates their cash flow draining. Here are a few things a buyer can do when faced with a bad inspection
1. Ask sellers to make requested repairs by licensed contractors.
2. Ask sellers to pay for repairs and buyer will hire own contractors.
3. Offer lower price on the house.
4. Cancel the purchase.
Depending on the repair and the costs, it depends on what the best step should be, but never take on a house that needs tremendous and expensive work. If you think you can’t live without the house, imagine the stress of living with a home that has too many problems.
But what happens if an appraisal comes in too low? This is just another thing that can happen that can cause undue stress for a homebuyer. While this doesn’t often happen, it is more frequent in the past several years than before. A buyer has a few choices, so before you completely panic, review and see why this does not mean it’s the end of the deal:
1. Ask for review. It can happen that the appraiser made a mistake or used bad comps.
2. Ask for a second opinion.
3. Renegotiate. The sellers may agree to lower the price. But beware; the price may be such a huge difference that it can change the seller’s moving plans.
4. Pay or split the difference with the seller.
Finally, the deal is almost done! You are about to be a proud homeowner and closing is just a few days away. What else can go wrong? Well certainly, a few things can. However, you can avoid any problems with your loan company as long as you have done your homework, responded to all requests in a timely manner and have your down payment monies readily available. What’s the best way to prevent any problems at this point?
1. Get pre-approved. Before you even start looking for homes, get a pre-approval letter from your mortgage company. This way, you will know exactly how much house you can afford.
2. Don’t make any large expensive purchases before closing. Remember, loan companies do one final credit check to make sure your credit is in good standing. There have been instances where a loan has been declined because a buyer went and charged all the new furniture for his house thus making his credit unacceptable.
3. Stay in contact with your real estate agent and mortgage company to make sure there are not any surprises or unexpected problems.
Again, never be afraid to ask questions. Usually, stressful situations don’t need to be as long as you have the information you need. Relying on your agent should make your real estate journey that much better. Remember, we have been through countless of home buying experiences and have probably seen it all. Usually, there is no reason to panic over anything for too long when purchasing your Windsor house for sale.