Pennie Landon
Coldwell Banker Realty 303.908.0382

Buyer Tips

Buying a home is a journey it can be a long journey, a short journey or somewhere in between. The duration depends on you. The most important step before looking at homes is knowing what you are qualified to purchase. Some important key points to keep in mind: 

Have you spoken with a mortgage lender?  Are you pre qualified ? This is not only important to know what your price points are for the homes you will be viewing, this will also determine the amount of house payment you are comfortable paying each month. When determining your payment , you do not want to be caught off guard with HOA's as well as metro taxes etc... When researching your lenders way up the pros and cons of your traditional bank vs a mortgage lender. Mortgage lenders have more programs to offer and often times more competitive with rates and fees as well as processing time often more times than a traditional bank. Shop around be sure to ask for quotes - your credit does not need to be pulled for this step. 

Why is this important for my agent to know ?  There are many  variances when looking into a homes. For example one home may request to have $1,500.00 as an Ernest money request, where as another in the same price point  may be requesting  $5,000.00 in Ernest money.

Then there is your local government taxes. These vary and will affect your monthly payment amount - Some other monthly  payment factors include  HOA'S. HOA'S can play a huge factor in your  home buying decision. They vary and can be a surprise if not thoroughly researched. For example you may run across an HOA fee of $75 annually - incl community resources (Surrounding parks and trails). You may run across some that may say HOA $350,00a month which may include water, sewer trash, snow removal, exterior maintenance, recreation access, and at times hazard insurance. This is really important to research and communicate what is important for you and your family to your agent.

Then there are Metro Taxes - What are Metro Taxes? This an added tax the builders place typically on the newer homes to help offset the cost of maintaining the subdivision. The  metro taxes vary and can be a surprise  if not careful. Be aware do your homework of the area you would like to move to, especially when you are trying to stay within a budget  and a specific house payment amount. All the above will have a large impact on your house payment.

Now you know what you can afford-  Where do you want to live?  Can you wait until the right home becomes available for the specific subdivision, neighborhood or area. What are some other areas nearby you might consider ?  Often times popular  subdivisions  do not have high turn over of homes so its good to have  some back ups.

Do you need to sell the home you are currently living in?  Or are you renting? If you are renting do you have a lease agreement that needs to be negotiated?  Do you have children?  Would you prefer to wait until they are out of school?

These are all preliminary questions to ask yourself before you begin and be be willing to communicate with your agent. This will help your agent assist you in the right direction that you would like to go.
The market is very fast paced and homes that are the most desired will not last long on the market so you need to be ready when you find the home of your dreams.
 
Sellers will often at times receive multiple offers -this is where your agents negotiating power comes into play. Your contract needs to be well put together with all the details and clauses to create the best negotiating opportunity. You need to have the discussion with your agent how high are you willing to go comfortably for the home of your dreams. Do not over extend yourself for the sake of winning - there are lots of homes out there, and no home is worth putting your family in financial jeopardy for the sake of winning.
Understand that you may not always win and the seller may not be willing to take your offer .
Have a second and third choice is always a good plan. 
 
Keeping open communication with your agent is important if not crucial, as they are the life line to the ever-changing market. Be open and honest with your Realtor as this communication could make your experience more pleasurable and increase your strength when purchasing a home. Talk to them let know where you are in the process. This will help them better understand you and you will not be inundated with emails and listings that you are not prepared to purchase. Every listing you receive, your agent takes a qualified amount of time to read about the home and how well it will fit for you. Keep in mind when you are not communicating -The agent is left guessing and it becomes exhausting for both parties and sometimes over whelming for clients because they have no idea where they are or what they are pursuing or looking at. Let your agent help you ! I know it can be challenging but take the time to communicate and meet with your agent. Your experience will be 100% more pleasurable.