Buying a home can be the most important and most expensive asset you invest in. Wouldn't it be wonderful to know what rookie mistakes to avoid in order to save? Melissa Sofia offers invaluable advice that could greatly alter your bottom line.
1. Get pre-approved before you start looking
It's a busy market and that means most homes are receiving multiple offers at a time. Without pre approval sellers are not going to take you seriously.
Also, sometimes the monthly payment you have casually calculated can be substantially different than what a bank will actually quote you. Or perhaps you actually qualify for more than you think you do.
Friends don't let friends do open houses alone
Going to open houses alone can be a serious money trap that you may regret forever. This scenario occurs when you attend an open house sans agent and the agent holding the open house informs you that you MUST work with them to purchase the property. Not true!
*Remember, Real Estate agents are salesmen and saleswomen-some are trustworthy and some are not. Buying a home is an emotional decision and many agents will take advantage of that.
The best way to save money is to work with an agent that has your best interests in mind.
3. Don't overpay for perfection
When you look at homes you should always keep a healthy imagination. Cosmetic features like paint, carpet, or even walls can come down and be changed!
Home flippers have made a killing off of people demanding turn key properties. If you are open to investing a few thousand dollars of upgrades like paint, flooring and landscaping, it can save you tens of thousands in the end.