The Three Deadly Buyer Mistakes

Today, buying the home of your dreams is easier than ever before, IF the purchase fits into your income and budget.  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 home.

Buying a home is also the smartest financial decision most people will ever make.  In fact, most Americans would be financially broke at retirement if it weren't for one saving grace - the tax allowances that favor home ownership and the equity that has built up over time in that home.

Real estate values have always risen steadily.  There are peaks and valleys to be sure, but the long term trend is a consistent increase.  This means that every month when the mortgage payment is made, the amount owed goes down and the value typically goes up.  This owe less - worth more relationship is equity build up and is a huge reason you can't afford NOT to buy.

Even if there is little money for a down payment or past credit problems, chances are that you can still buy a new home.  It just comes down to knowing the right strategies, and working with the right people.  Which brings us to the next mistake:

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, procesures and competition from other buyers require buyer agents to perform at an ever-increasing level of professionalism.  For many homebuyers, 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 - the buyer.  That means they are loyal only to you and are obligated to look out for your best interests.  Buyer's agents can help you to find the best home, the best lender and the best inspector for your needs.  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 is, well, unthinkable.  You should trust them.  Which brings us to the third mistake:

Deadly Mistake #3 - Thinking all home inspections are the same and searching for the cheapest inspection you can find.

Since buying a home is probably the most expensive purchase most people make, it is no time to shop for a cheap inspection.  The cost of a home inspection is very small relative to the price of the house.  The additional cost, if there is additional cost, of hiring an experienced and certified home inspector is almost insignificant.  As a homebuyer, you have been crunching numbers, negotiating offers, adding up seemingly never-ending costs, shopping for mortgages and interest rates and trying to get every best deal you can.  Don't stop now!  Don't let your agent or a patty-cake home inspector or anyone else to talk you into skimping on the home inspection.  You want quality.  You want experience.

There is a reason one inspection is cheaper than another.  Ask the inspector what is offered for the money.  Find out what you get as a final product.  Ask what certifications the inspector holds, or what associations affiliated with.  Ask how many inspections he/she has performed! 

Don't think that all home inspections are the same!

Inter-NACHI front-ends its membership requirements.  Inter-NACHI turns down more than one half of the inspectors who want to join because they can't fulfill the membership requirements. 

Inter-NACHI-certified inspectors peform the best inspections by far.  Inter-NACHI-certified inspectors earn their fees many times over.  Never settle for less than a Certified Inspector from the "Inter-National Association of Certified Home Inspectors."  Your home is worth it.