The word surprise is defined as a state of amazement. Depending on the setting, the word can have different meanings. A surprise Birthday party, this can be a pleasant experience. On the other hand, if you get caught off guard with a surprise while buying a home, this can feel more like a bushwhacking. Buying a home is similar to a puzzle, all the pieces have to fit. There are different ingredients that can certainly throw a curveball to a home buyer during the process. Consumers can eliminate these pitfalls that might delay or terminate the prospects of buying a home by doing their homework from the outset. In school you would not take a test without studying first, same goes for buying a home. Here are a couple of hangups that can undermine the transaction.
Loan Hazards: There are a number of roadblocks that can derail your home loan or create an unwanted surprise. You’ve completed the interviewing stage with multiple lenders and have chosen the lender you feel most comfortable with that offers the best loan for your needs. You make an offer that has been accepted by the sellers. Have your mortgage representative order the appraisal immediately. With housing prices fluctuating rapidly and lenders no longer able to dictate what appraiser they use, it’s very likely your new home will be assessed by an out-of-town appraiser. The likelihood they are knowledgeable with local real estate values are dubious. Nothing like the jolt you get after losing a home because the property did not appraise. Consider locking in on the current interest rate after you get in contract with the seller, your lender can give his expert opinion on any rate increase. Even a slight rate increase can cost you money, decrease the chances of disappointment by locking the current interest rate. You have squeezed by and just days away from moving into your new home, imagine the shock when the lender calls and hysterically proclaims you might have lost the home because you went out and bought a new car or new furniture for the home. Stay away from purchasing any big-ticket items before you close on your home.
Property Bloopers: Minimize the chances of any unknown mishaps by using a local real estate professional. You might have a licensed family member or best friend that lives in Southern California, but your home search is in Sacramento. Always use local realtors. How can that long distance agent have any knowledge of potential hazards that might have a negative effect on that property or neighborhood. How would he or she know anything about that toxic clean up site around the corner or why home values fluctuate from neighborhood to neighborhood. It’s imperative that every home buyer pay for a whole house inspection, the price ranges from $300 to $600.for this inspection. Do not cut corners or try to save money by foregoing this vital investigation of the property. The peace of mind is easily worth the cost. The purchase contracts are loaded with protections for both buyer and seller, make sure you abide by each contingency phase as you progress, nothing worse than losing a home because you did not live up to your side of the deal These are just a few obstacles that buyers should be aware of. Please visit my website www.JohnnyBrooksHomes.com for helpful tips on buying or selling a home, scan my informative blogs and easy access to view local area homes for sale in Davis, California and the surrounding communities.