5 Biggest Mistakes Buyers Make

5 Biggest Mistakes Buyers Make

Buying your home in the Breckenridge-Frisco area is exciting but can also be very stressful. We all wish that transactions would go easily and smoothly but unfortunately there are a lot of things that could go wrong. You need a good real estate agent to guide you through this process because this is one transaction you do not want to mess up! I am committed to my clients and will be there by their side through it all. But as general advice, here are some of the biggest mistakes buyers make and what you can do to avoid them.

Not Getting Pre-Approved

One of the first biggest mistakes buyers make is not getting pre-approved on their loan. Sometimes a buyer will start shopping or looking before they are pre-approved and fall in love with a home that they can’t afford. Knowing where you are with the lenders and knowing what those monthly payments will look like for you and your family is very important. This is an essential step in narrowing down what homes you can truly afford. As a real estate agent, I don’t want to show you things that you can’t actually buy!

Being pre-approved can also help you secure the home you fall in love with. This market is moving quickly! Homes that are on the market one day can be sold and gone the next. Being already pre-approved for your home loan means that you can place an offer on a home as soon as you decide it’s the one for you. Anytime you start to look at homes you will want to be sure you are pre-approved by the bank first. If you have skipped this step it could mean that the home you have been looking for could be sold by the time you get this completed. Or the bank could not approve you for that amount you require. Check out my Buyer’s Guide for a more detailed look into what you need to know about purchasing a home. 

Waiting For The Perfect Home

biggest mistakes buyers make

In a competitive market, like the one we’re in now, no buyer is going to be able to find everything they want in a home. Passing up on a home, just because it wasn’t totally perfect, is yet another one of the biggest mistakes buyers make. Especially in the current market. You need to be clear on which features are most important to you and what your must-haves are. You obviously want to get as close to your dream home as possible, but remember that you can make changes as well. I’m not saying you should never rush into buying a home, but be careful with dismissing a home outright because it’s not ‘perfect’. By the time you decide that it’s actually the right home for you, it could be gone. 

Did you pass on your dream home early on, and now are regretting that decision? The housing market is hot right now and inventory is low, which means homes are selling quickly. I see buyers that find a home that is perfect for them and their family but want to “play the market” and see what else is out there first. This is absolutely an option, but be aware that there is a possibility that this home could be sold by the time you decide it was the right home for you. In my experience, this strategy rarely works, and I end up seeing disappointed buyers.

Your real estate agent should be able to give you some idea on if they think you should move quickly or not on a home. Buyers should trust their instincts, even if they find something they love right from the beginning of their search! There is no hard rule on how many homes you should see before you find the right one.

Doing It Alone

Another one of the biggest mistakes buyers make is thinking they don’t need a real estate agent. Have you chosen to do this journey of purchasing a home by yourself? Some buyers think that they don’t need to have professional help from a real estate agent while purchasing a home. There is so much to know about buying a home; paperwork, mortgage, offers, and countless other things! You are dealing with very large sums of money here. Why wouldn’t you want someone there to advise you and help you through?

The internet is a great place and there is so much information you can find online about purchasing a home. However, nothing beats the advice of an experienced professional who can respond to your specific and unique situation. I can educate you on the process, who you need to consult along the way, if an attorney is needed to complete a purchase, or when to have your down payment ready. Additionally, I can give you great advice on the community you are purchasing in as I am an expert in the Breckenridge-Frisco area. I can give you the inside knowledge you need on the best neighborhoods for you!

Going Over Budget

Another mistake some buyers make is going over budget. I sometimes see clients that believe they’ve found the perfect home, but it’s actually way over budget. It’s very important that you have that magic number you can’t go over when you first start your home buying process. You need to know what your limits are, and it’s extra helpful if this budget lines up with your pre-approved loan, but it’s also helpful for me as a real estate agent. This way I won’t tempt you and show you homes that are over your budget. We know it’s human nature to always want a little more, but the bank has looked over all your finances and has decided this number is what you can safely afford. Spending more than you can afford leaves you exposed to potential financial shocks, including rises in interest rates. 

Not Understanding The Market

The final biggest mistake buyers make is not fully understanding the market they’re buying in. If you don’t have the proper understanding of how the current market is moving and growing then you could miss out on your future home. Having an expert real estate agent who knows and understands the market you are searching in can be a huge benefit to you! I pride myself on being an expert in the Breckenridge-Frisco area real estate market! I want to share this information with my clients, which is why I put out my monthly market reports. If you ever want to know how the real estate market is doing and what you can expect as a buyer, don’t hesitate to get in touch. 

How Can I Help?

I hope this blog on the biggest mistakes buyers make when buying a home in the Breckenridge-Frisco area has been informative to you in your home buying process. Please feel free to reach out to me with any further questions! I strive to provide my clients with relevant and up-to-date information. I am using safety guidelines and following social distancing practices to keep my clients safe and healthy. If you would like to know more about how I can help you with your real estate needs please reach out! 

If you would like more information on how the Breckenridge Frisco Area Real Estate Market is doing, you can also sign up for my detailed monthly market report here

Scott Lerner
Managing Broker
Coldwell Banker Mountain Properties