back to Buyer FAQ's
Not looking at enough Houses for Sale
Never worry that you may see too many houses. It's almost impossible to look at too many houses. The more you see, the more you'll learn about what you want and what each house is worth. Don't let an impatient real estate agent try to close on a house you do not want. If he or she is tired of showing you houses, there are many more agents who will.
It is, however, time effective for both you and the agent that you predetermine, as far as possible, your broad needs and wants before hand as to help the agent to identify the most suitable house to show you.
Not making a low offer
Many real estate agents might urge you to make an offer similar to the asking price. Don't be pressurized. It's your money and your potential new house. Pay only what you can afford. Only make an offer for what you think the house is worth. If the seller declines your offer, you have lost nothing. He or she can always make a counter-offer and you can counter-offer again until you find a suitable price, or you can walk away.
Not making the correct price comparisons
Few houses actually sell for the asking price so don't assess the value of a house only on the asking price. Real Estate Agents are able to compile reports that reflect and compare the selling price of similar houses recently sold in the same area. (These reports are commonly referred to in the industry as Comparative Market Analysis or "CMA"). Agents can also tell you which houses did not sell and were withdrawn or expired. This will allow you to make a more accurate decision whether the asking price is market related.
Forgetting to calculate all the costs
Remember when calculating the maximum price you can afford to include all the many hidden costs you might initially be thinking of. This can easily be as much as 10% of the Home Purchase Price and should be deducted from the total to leave you a safety net.
To determine your specific circumstances ask a lending institution to calculate your price range. They will do this for you at no charge, as they need this information to provide a mortgage and hope to get your business. Many real estate agents can also assist with this calculation.
Fear of losing a specific house
Don't fall in love with the first house you see. Also beware of getting hooked on a specific house so much that you throw caution to the wind. There are many houses and houses come onto the market all the time. Take your time, within reason of course. Frequently, the best deal is just around the corner.
Not looking past the interior decorating or cosmetic improvements
Don't choose a house just because you like the interior decorating. That is not what you are buying and usually will all go with the Seller when he/she moves. Look past any cosmetic improvements such as recent paint and wallpaper, quickly redone gardens, etc. Remember to check out the actual structure of the house itself. You should also investigate the piping, roofing, electricity, etc. Those are the items, that if faulty, you will have to deal with later on.