KEYtoVEGAShome 5 Major Buyer Mistakes - Inside Secrets
Manage episode 311961806 series 3206184
Mistake #1: Not sure where you want to live?
KEY #1: Start looking for your area first
In a neighborhood with high demand and a lot of motivated buyers, homes can sell within a few days. You don’t want to get stuck in a position where you are making a rushed decision on a home because your current one is about to sell. I help my buyers “know” where they want to live.
Mistake #2: Letting Zillow building a search for you.
KEY #2: We build searches for them NOT Zillow!
Zillow is using my old data (from my paid fees to GLVAR as a Realtor) Zillow does not get current and accurate information, it’s old, not updated, and most times inaccurate. I help buyers understand that searching on Zillow only leads to disappointment, discouragement, and dead dreams. I Build searches into kvCORE so the system will help you see what's going on online with your search.
Mistake #3: Not being COA approved
KEY #3: Get COA Approved
You might know that you’ll be “approved” for a mortgage loan based on your steady income, your low debt-to-income ratio, and your high credit score — but the seller probably doesn’t know that. The only way to prove to the seller that you’re a qualified buyer is to be underwritten from a lender. “Prequalification is absolutely paramount,” but UNDERWRITTEN will give me the power at the negotiation table.
Mistake #4: Not planning for the “right” strategy
KEY #4: Work on the Plan, Strategy, & Tactic
To compete against other potential buyers, you want to put the least amount of contingencies on your offer as possible. In a seller’s market, I don’t recommend that you put an offer on a home that is contingent on the sale of your current one, because it will turn sellers off. If there is ever a time when a bidding war could be imminent, it’s during a seller’s market. No buyer wants to be involved in such a battle for fear of possibly going over budget. But my solution for buyers: “Set your search below your max budget to leave room in case of an over-asking bidding war.”
Mistake #5: Making a low offer
KEY #5: Make your best Offer
The motivation to buy what we want for as little money as possible is deeply ingrained in us. So when most people see the listing price of a home, they naturally wonder what they can really get the house for? Offering lower than asking price is a reasonable strategy, especially if the house is overpriced compared with other similar homes in the area, or if it’s a buyer’s market with lots of available inventory. But trying to get a deal when you’re in a seller’s market might not be the best tactic. “In a seller’s market, many buyers do not step up with a strong enough offer.” There is usually a shortage of inventory, and the competition is usually fierce. I always encourage my buyer to come in with a strong opening offer.