Avoid Common Home Buying Issues by Following This Advice

by Kevin Smith Author

Deciding to buy a new home is one of the most major life decisions a person can make. While unforeseen problems will always crop up, there are several things you can do to avoid the most common issues and limit those that seem to rear their ugly heads at the most inopportune times. If you are looking at new housing developments in Lemont, here are some tips you should follow before committing to purchasing any home.

Know What You Can Afford

Not knowing how much a buyer can afford is a common mistake that can lead to catastrophic financial mistakes or crushed dreams. Looking at a home before you know what you can afford is asking for trouble; homes on the market are always presented at their best to make you fall in love with them. If you do not know what you can afford beforehand, you could fall in love with a home that you cannot afford.

Get and Understand a Good Faith Estimate

Make sure you get a Good Faith Estimate from your lender and more importantly, make sure you understand what it means. Lenders are required by law to provide you with the Good Faith Estimate within three days of presenting a loan. After that, it is up to you to review the loan details and understand the various fees and costs. If you do not understand something, ask. You do not want to find out after the fact that you are paying for stuff you do not have to or paying too much.

Negotiate

Too many home buyers view negotiation as a hostile activity. This does not have to be the case. Alternative offers are something sellers and developers anticipate and as such, build that reality into their asking price. Negotiating terms is the only way a buyer can get the costs down to a more realistic level. Part of being able to negotiate effectively is understanding your limits, but once you do, you have power in terms of making the seller come to your terms.

Have the Home Inspected Independently

The temptation is to rely on the seller’s appraisal or to assume that because the home is new, it is perfect. You do not know the motivations of the inspector and almost every home has some flaw in it. An independent, objective eye can give you a different perspective that is not tied to selling the building, but in offering an unbiased opinion of the home, its construction and design.

Buying a home is one of the most momentous decisions a person or couple can make. Avoiding common mistakes is one way of making sure that purchase does not come with a dose of regret. If you are looking at new housing developments in Lemont, make sure you follow this advice without exception.