Buying a Home May 24, 2020

Donʼt Make These 3 Home Buying Mistakes!

There are numerous rollercoasters in life, and buying a home can be one of them.  But, when done correctly, the rollercoaster doesn’t need to be as big as California Screamin’, it can be more like the gentle curvy track at the carnival.

As a realtor, my goal is to save buyers and sellers pain and stress.  When it comes to buying a home, there are myths about the home shopping experience that must be addressed. The tips below, plus several other tools that I have up my sleeve, will help you make a successful home purchase . . . one that won’t be a scary ride, instead it ends with a smooth transaction.

Myth #1: “That house has been on the market so long I bet we can easily work the seller down.”

 Maybe, but not necessarily. Days on the market, also abbreviated as DOM, is the time between when a home is listed on the MLS and when it is sold or taken off of the market.  In Prescott, in the Spring of 2020, a house was on the market for an average of 110 days.  There were times in the past that the average days on the market was much lower, and times when it was higher.  A home on the market for 100 days isn’t necessarily going to go for a ‘bargain’ just because of the days on the market.   Exceptionally high days on the market could mean almost anything. One possibility, the seller could be unrealistic about their price. Alternatively, the seller may not be particularly motivated to sell for emotional or other personal reasons. This is when you need to rely on the experience and training of your realtor to negotiate on your behalf.

Myth #2: “I want to look at foreclosed homes because they’re a real bargain and the banks need to unload them.”

Unfortunately, there are several reasons a home may arrive in foreclosure.  It could be a death in the family, illness, or divorce.  Once the home is in the hands of the banks, the rules of negotiation change.  Banks, like entrenched sellers, don’t always make rational. You can have a hard time determining the reason a bank chooses to reject an offer for a foreclosed or distressed property.  Rejection may be based on financials which seem counterintuitive. The truth is, many distressed sale transactions can be longer and more stressful than regular sales.  If you are looking for a bargain or a fixer upper, contact me and I can set up a personalized search that will alert you when inventory meeting your criteria becomes available.

Myth #3: “I liked this house a lot, but with this market, I bet it will still be there if I decide to buy it.”

It is incredibly painful to see a client fall in love with a home, but fail to make a move to purchase that home. If you fell in love with it, it is highly likely that someone else will fall in love with it as well. Just because a property has been on the market a little while doesn’t mean it will stay on the market. Ask yourself, if you don’t make an offer on a home, are you comfortable losing this home?

My job as an agent is to represent your interests and do my best to protect you along the way. If you’re pursuing a home purchase in the near future, please contact me today at (928) 916-1921. There are many other ways I can lower your stress and help you find a great home.