10 “Must-Do’s” When Buying A Home in San Diego!
Posted by Gretchen Pagnotta | Visited 94 times, 1 so far today | Leave A Comment »
Gretchen Pagnotta with Windermere
Many people are looking to purchase a home in 2010 and I thought it appropriate to review some basic points for buyers to keep in mind. I am currently working with several buyers and my husband and I call the search a “process.” Let’s get started with the process!
Step 1: Find a Realtor that you have good chemistry with! How do you find a good agent? Start by doing a web search in the area you are looking. Unfortunately many websites today offer nothing more than MLS searches…find one that has a blog or content about the area, the agent, and hopefully some testimonials from previous clients. Start with an email to an agent and include your phone number..see how quickly they respond…this will give you a good indication of how attentive they will be to you. If you receive a reply that you like and or a return phone call (preferred) set up a meeting with the agent in their office. So far today I have had requests for 2 floorplans from prospective clients on my website looking at homes. Keep in mind it is a 2 way street…. agents need to earn your trust and business and you need to make a commitment to work with one agent that you are comfortable with!
Questions you can ask an agent: How many homes did you sell in the past 12 months ????…ask to see a computer list. How do you define your style of negotiating? How many years have you been selling real estate? What are your certifications and designations (education and training). Will you be helping me personally or someone on your team? Do you have an assistant to handle your transaction paperwork? Can you give me 3 references of clients who have closed in the past 6 months? After your interview decide if the chemistry is positive. I tell people it is like selecting a Obstetrician. You will have a close relationship with this person and it helps to have mutual respect, confidence and sense of easiness to make the home buying process a pleasant experience…just like having a baby!
Step2: There is no right time to buy and no perfect time to sell! Stop asking if the market is at the lowest or highest…you can never time the market perfectly. A “good” home will not stay on the market in any market. Let your Realtor do the comps and remember… this is going to be your home! So far this year (2010) we are seeing multiple offers on the good ones…get going!
Step3: Stops asking everyone for their opinion….especially co-workers. Don’t you know these people do not care what you do…seriously! If you get a “deal” they perceive as better than theirs they will be jealous. If you can afford more than they can they are even more jealous. If you are looking in neighborhoods priced lower than theirs they will tell you the home is a dump and to keep looking. Opinions don’t matter..do your own homework working with an agent you trust!
Step 4: Understand NO HOME IS PERFECT! Please tune in to HGTV and watch the buyers go through the pros and cons. You need to do some soul searching..what is most important to you? What can you NOT compromise on (traffic noise, large yard, small yard, pool, no pool, view, no view, 3 car garage???) My son is looking for a home now and I am telling him, “Don’t compromise on a garage..you need a 3 car garage.” His hobby is wood working and he just started his family so has all the “stuff” …hope he listens but I have little control His wife will represent them to keep peace in the family(!)
Step5: Don’t negotiate to win and end up losing. Negotiating is an art…if you have selected a good agent let them do their job and L_I_S_T_E_N! It is a give and take. For the past few years buyers could demand everything and anything. The market is changing, You need to establish a good sense of value by seeing homes and receiving good sales information, review comps carefully on the home you are buying, get a thorough property inspection and then make analytical and not emotional decisions on your negotiation.
Step 6: Keep in mind you are buying a neighborhood as well as a home! Many people get caught up with fitting their furniture into a home or focusing solely on a floor plan. The most important thing is to pick the neighborhood first based on your lifestyle, schools, eye appeal, community, amenities and commute. Many times you can purchase a home with less sqft and a lower price if you just toss some of your stuff…you don’t use it anyway! How many of you use a formal living room…ever thought of making this space for an office? How about a formal dining room…???? Think about how you really live! I live in Santaluz and I really could select several floor plans because what I love is my neighborhood! I feel this way in fact about all my” favorite “neighborhoods in North County!
Step 7: Be Preapproved with a lender prior to looking at a home!Your agent can give you the names of agents she/he uses. Get completely pre approved and have the lender provide you with a letter and a sheet showing your closing costs and monthly costs. If you need to sell your home before you purchase talk with your agent about how to coordinate this process.
Step 8: Make sure you have money left over for emergencies and home maintenance. I am no financial planner but I think it is important to have 6 months of cash on hand in case you lose your job (it happens) and also savings for home maintenance. Most resale homes need some work; paint, flooring, appliances etc. in the first year..budget your money so you can to improve your home over a 2 year period. This is critically important when purchasing a new home. Add the costs of window treatments, flooring, appliances, tile or solid surface upgrades, electrical and the killer..the YARD,
Step 9: Embrace BUYER”S REMORSE: It happens! I just bought a new car and spent the first night going over all my choices as my new car sat in my garage.
Step10: Buy a home and neighborhood you love and don’t count on it being the best “deal” for appreciation. Many times the best “deal” backfires because you are not happy and you sell earlier than planned which is expensive to do considering closing costs of the sale and another purchase.
That’s it..are you ready to follow my advice? San Diego is a fabulous place to live and the future for home ownership will be bright!
If you are a first time Home Buyer or First Time Investor come to our Home Buyer’s Seminar on March 27th at the 4S Ranch Library, 9:30-11:30. We will have a lender there to pre qualify you and a tour of 4 homes afterwards in the 4S Ranch area of Rancho Bernardo! Respond by email!
Alan to give Home Buyer's Seminar March 25th! REGISTER NOW!
