Buyer Don’ts

 

 

THINGS A BUYER SHOULD ABSOLUTELY NOT DO

 

Don’t quit your job.

Don’t change your job.

Don’t buy any large ticket items (like five dollars or more!).

Don’t Make David Copperfield deposits (all funds need to be traceable).

Don’t talk to Sellers directly (loose lips sink ships).

Not getting a gift letter and a bank statement for funds.

Not telling the person who is giving you the gift that you will need a gift letter and

  proof (usually a bank  statement) that they had the money to give

Not telling your Realtor if you are allergic to animals.

Not being completely honest with the lender about child support, alimony, wage garnishments, tax liens,

judgments or a payroll reduction of any sort.

Getting advice from a buying committee, friend or relative that

   has not purchased in the last year (the rules change almost daily).

Waiting to see everything else that is on the market.

Don’t trash the property in front of the owners.

Calling the other agent on “For Sale” signs (mutual loyalty is important).

Attending open houses and new construction without advising

   the other agent you are working with a Realtor.

Not telling me if you have a house to sell.

Delaying paperwork because you are irritated by the frequency and

     number of requests from the Mortgage Company.

Finding a lender on the internet that offers a 0.001 interest rate.

Not realizing it is possible to find what you are looking for the very

     first day you go out (this happens more than you think…).

Going home to sleep on it (in a hot market, if you sleep on it, you

     might not get to sleep in it).

Waiting to find the absolute PERFECT house. You will always be limited by income,

zoning, inventory at the time, and/or legislation and or property taxes.

(use the 80/10/10 Rule If you find a house that has 80% of what you are

     looking for, 10% of things you can change and 10% of things you

     can live with, it’s a keeper.

Do not co-sign for even a candy bar!

Don’t order Direct TV, Cable, Telephone or any utility that will pull a

     credit report unless you want to write a letter of explanation about

     the credit report to the mortgage company.

Don’t change your name during the mortgage process.

Not being up front with your loan officer (hiding information).

Not realizing the clock starts ticking from the time the loan officer

     gets the contract, not the date it was written).

Don’t get upset if the lender requires a letter of explanation.

Do not have unreasonable expectations.

Not getting a home warranty.

Giving away your negotiation power by speaking in the house

     (always assume you are being recorded).

Posting your real estate thoughts on social media sites (If you are

     savvy, this can easily be viewed).

Not getting a home inspection.

Not being FULLY approved BEFORE you go looking (nothing hurts

     as much as finding the house you love and you lose it when

     someone else beats you to it because you were not completely ready).

Believing what you see on HGTV and reality television (the majority

     of that stuff is scripted).

Not shopping the good faith estimate (your closing costs).

Not telling your Realtor what is MOST important to you.

Calling at the very last minute to cancel appointments.

Finding a lender on the internet that offers a 000000.1 interest rate

     and is from outside of the area.

Using an online Lender (usually lacks communication between parties).

• Not using legal name on drivers license for mortgage docs

(use Jr. and Sr. if required).

Not telling your lender if you lose your job before you close.

Do not go window shopping and let people pull your credit.

     If it can’t be written somewhere in the contract because its

     being done “under the table”, it is probably mortgage fraud.

Do not look at a short-sale if you need to move immediately.

Do not consider a short-sale if you need to be in control of the process.

Dying before the transaction closes (this really messes things up,

     BIG TIME! Please don’t die before the closing…

 

Thank you Terry Watson, CSP, Chicago for your helpful tips!

 


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