| If you aren't careful, it's easy to make some major | | | | situation. The wise course of action is to put the |
| mistakes before purchasing a home that can delay or | | | | down payment in a trust fund overseen by an |
| even cancel your closing on that home. So here are | | | | attorney, so that access to the money cannot be |
| some tips on how to avoid common home buying | | | | gained by either party until either the house closes or |
| mistakes that many people make. | | | | the deal falls through. |
| Most people these days use financing to afford their | | | | Believe it or not, some home buyers actually forget |
| home, and a very common mistake that is made by | | | | to arrange to have their utilities activated in their new |
| many home buyers is making a major purchase, such | | | | home before they move in. This can lead to some |
| as a car, not long before trying to buy their new | | | | very uncomfortable days spent in your new home |
| home. This may not sound like a problem initially, but | | | | that are unnecessary. So make a note to yourself to |
| lenders use something called the debt to income ratio | | | | both arrange for turning off utilities at your old |
| to help determine whether or not you can actually | | | | residence, and getting them turned on in time at your |
| afford a home that is in a certain price range. | | | | new home. |
| Unfortunately, by increasing your consumer debt for | | | | Having a good real estate agent to look out for your |
| purchases like a car or some other installment | | | | interests as you buy your new home is an important |
| payment, you only decrease the amount of house | | | | asset that you don't want to overlook either. It's |
| that you can buy through most lending institutions. So | | | | their job to keep up with all the details of the deal |
| avoid this mistake and eliminate all major purchases | | | | from day-to-day, and keep everything moving |
| as much as possible before purchasing a home. | | | | smoothly on track toward closing. They can help |
| Another common mistake is changing jobs just | | | | shield you from much of the frustration and |
| before buying a home. Again, lenders don't like to see | | | | day-to-day angst associated with buying a new |
| this. They prefer instead to see consistency at the | | | | home. |
| job, so do your best to stick it out at your job, at | | | | Some home buyers fail to stay up with the |
| least until your home is bought and the papers are | | | | requirements of the lender as the home progresses |
| signed. | | | | to closing too, and then find themselves way behind |
| If you happen to be buying your home as a for sale | | | | in the process at the very last minute. Sometimes |
| by owner deal, a big mistake that you want to avoid | | | | this can lead to delay or even cancellation of the |
| is to be careful not to give any down payment | | | | house closing, so take care of your end of the deal |
| money to the homeowner themselves before the | | | | by staying on the same page as the lender all the |
| transaction is actually completed. Unfortunately, some | | | | way through the process. |
| unscrupulous homeowners have taken the down | | | | The more education that you have about possible |
| payment money that they have received and spent | | | | costly mistakes that could be made in buying a |
| it before the deal was closed. If for any reason the | | | | home, the more chance you have to keep the whole |
| deal falls through, you can imagine how difficult it | | | | home buying process moving along smoothly and |
| would be trying to get your money back in such a | | | | quickly toward a successful close. |