There are many myths and false statements traveling around the web and even late infomercials for that matter. The buy homes at the court house, tax foreclosures and bank owned properties for pennies on the dollar entice people to purchase these get rich real estate schemes. Being in the industry, and selling a fair amount of home, I can honestly say, real estate purchases and investing is never as easy as someone says.
1. Buying a home is easy. False. There are more complexities than just finding a house online. It takes a high level of understanding of financing, title and escrow, the legal forms and rights, and if the home is a equity based sale or if it’s bank owned or a short sale.
2. A home that meets ALL a buyer’s criteria is available. False. A home that meets every detailed requirement may not be available for sale at the time in wish you want buy. Its a good idea to weigh the pros and cons to see what criteria are a necessity and which ones can be done without. Or, build a custom home.
3. Qualifying for a home loan is easy. False. Lending requirements have become more strict and just because a person makes a lot of money won’t guarantee a housing loan. Lending institutions are looking for good credit scores and low debt-to-income ratios.
4. A buyer can negotiate better with just listing agent. False. A listing agent’s fiduciary role is to achieve the highest and best price for the seller; not getting the best deal for the buyer. The only thing achieved by using the listing agent is voiding any opportunity to hire their own representation.
5. The real estate market hasn’t hit bottom. False. Actually it is quiet the opposite. Snohomish County prices have started to climb due to the low inventory levels. There are signs of a pending boom as seen in 2003 – 2007 which will highly favor sellers – I would rather see stability.
6. A home inspections isn’t that important. False. A home inspection can be the most important money ever spent to purchase a home. Many issues cannot be seen with the untrained eye and a lot of time folks do not wish to climb on roofs and venture into dirty crawl spaces to determine the home’s condition.
7. There are quality real estate brokers ready for hired. True. Many of us are full time real estate brokers who take buying and selling real estate seriously, care about our client’s goals, and want to stay in business for years to come.
8. There is legitimated information online. True. Many real estate brokers, mortgage lenders, and title and escrow companies publish content regularly online that is legitimate, useful and accurate.
9. All real estate website are the same. False. The national syndication sites have been scrutiny over the accuracy of their databases. Websites like ours are held to higher standards per rules governed by our local MLS (Northwest Multiple Listing Service).
10. Buying a home can be a fun and pleasant experience. True. Exercising patients, being timely, and trusting the people you hire will go a long ways in the enjoyment of the home purchase