While holding an open house recently I had a visitor remark they "were buying a house in a couple of months."
My follow up conversation brought to light three red flags.
My follow up conversation brought to light three red flags.
- The lack of understanding about how long the purchase process takes;
- No effort was made to obtain mortgage pre-approval or pre-qualification;
- Friend who does mortgages.
Why are these red flags?
First, this is a first time home-buyer who really had not been educated on the process. Since he had no real estate agent that is quite understandable.
The first step in the home buying process? Get a local knowledgeable real estate agent you can trust. Here is a quick summary of the home purchase process in Florida - Contract to Closing in Twenty Steps! Who pays for the buyer's real estate agent? The seller.
Secondly, a seller (and a real estate estate) wants to have some confidence of a prospective buyer's ability to pay. Seller's do not want to take their home off the market without confidence the transaction will close. Real estate agents get paid only after a deal is closed.
Unless paying cash, it is critical a prospective buyer know what they can afford (including acquisition costs). If a buyer can't afford a property everyone is just spinning their wheels!
Lastly, buying a home is very often the largest financial decision many buyers make. Trusting a "fiend," relative, or anyone without an understanding of their experience is a major risk.
Take a look at these home buyer articles.
The first step in the home buying process? Get a local knowledgeable real estate agent you can trust. Here is a quick summary of the home purchase process in Florida - Contract to Closing in Twenty Steps! Who pays for the buyer's real estate agent? The seller.
Secondly, a seller (and a real estate estate) wants to have some confidence of a prospective buyer's ability to pay. Seller's do not want to take their home off the market without confidence the transaction will close. Real estate agents get paid only after a deal is closed.
Unless paying cash, it is critical a prospective buyer know what they can afford (including acquisition costs). If a buyer can't afford a property everyone is just spinning their wheels!
Lastly, buying a home is very often the largest financial decision many buyers make. Trusting a "fiend," relative, or anyone without an understanding of their experience is a major risk.
Take a look at these home buyer articles.
- When Do You Talk to the Mortgage People?
- Why Does it Matter if I Work with more than one agent?
- Why Won't a Realtor Just Go Show Me Houses?
- Contract to Closing in Twenty Steps
- How to "View" a Listing
- Offers, Counter Offers, Negotiating...Buying Your Florida Home
- Buying a Home in Florida - Keys to a Successful Closing
- Finding the Perfect "Imperfect" Home
If you have questions about the home buying process in Brevard County, Florida, call me at 321-693-3850.
