Home buying is a complicated process, so most people spend time preparing themselves by getting to know the market and researching a good team. Research can only take you so far, though. Here are some things that might surprise you during your home buying process.
The paperwork. After the bad lending habits that led to the recent housing crash, there is more paperwork than ever. There will be paperwork when you sign an agreement with your real estate agent. There will be paperwork when you make an offer, and there will be lots of paperwork when you go for closing. There will even be paperwork that verifies that your paperwork is your paperwork. It can be dizzying and confusing, but you should never sign paperwork that you don’t understand. Experts have a tendency to move through paperwork quickly because they know what it is, but you’ve got the right to demand explanation.
The home inspection can derail a home purchase. After a long search, you’ve finally put an offer in that has been accepted, and you’re elated. Now you’re waiting only on the home inspection. Be prepared, the home inspector will find problems. If it comes back with lots of problems, there will be negotiation. A bad inspection doesn’t spell the death knell for a deal, but if there are significant problems or the seller is unwilling to negotiate in ways that you think are reasonable, then a bad home inspection can lead you to pull out of an impending deal.
Extra expenses. While you’ve been saving for the down payment, there are always going to be some extra expenses in the home buying process. You might need to pay for additional home inspections. You might need to pay for some estimates for repairs, whether structural or cosmetic. You might need to rent a storage unit for a few days. Stash away some extra cash to meet these needs.
Things will not go as you expect. With so many moving parts to a housing deal, buyer, seller, agents, lenders, inspectors and the like) there is always the possibility that someone will make a decision that will put a bump into the road to your new home. Trying to be flexible and available can help you meet the ever-evolving needs of this diverse group and keep you on track. The process is complex, but the reward is just as great, so it’s worth going through some unexpected hurdles to get into your first home.
By Sam Erickson MultiAd.com
