Your realtor should be able to help you decide whether or not the home is truly affordable and within your means. They can point you in the direction of a reliable online affordability calculator, but they can also help by listing all the known costs that come with the house. Home owners insurance, property taxes, typical monthly electrical bills of past owners, home association fees etc… These are all items that must be included in your affordability calculations. Buy smart and don’t dive into something that ends up drowning you in debt. This is the most stressful part of the entire home buying process. Here is where you hand it all over to the realtor and expect them to negotiate like a shark. But here’s the thing— the higher the selling price, the higher the commission for the relator. Did your realtor tell you this? We doubt it; its up to you to know these little facts.
Although, sometimes the realtor is in the dark just as much as the buyer. Perhaps the seller has hidden some of the less attractive events that have gone on in the home—such as mice infestations or toilet overflows that soaked into the drywall. Your best bet is to hire a trustworthy realtor. Ask your realtor to do some leg work for you (that’s their job after all); ask them to look into city plans, future schools, roads or other construction proposals, and past insurance claims. A trustworthy, reputable agent is paramount to discovering the real truth behind the walls of your potential dream home. We have mentioned that stretching yourself a bit when it comes to price can increase your profits in the long run, but you still need to be very careful that you are buying something that leaves money in your budget to buy food. Avoid rich house, poor man syndrome.
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