Buying Incline Village, NV real estate is incredibly exciting! How could living in a destination that gets 3 million visitors a year be anything but? Whether you are a first time buyer or a seasoned investor, there are moments that can feel overwhelming. If you are new to the process, there is a learning curve and there are mistakes you can make along the way that can heavily impact your buying power. If you are getting ready to buy real estate in Incline Village, NV, be sure to read this.
Mistake #1: Get pre-approved FIRST!
First thing is first: Get your financing handled BEFORE you start the search. Just so we are clear, pre-approved and pre-qualified are two very different things. Pre-approved lets you know how much your loan is actually for. Pre-qualified is simply an estimate. Pre-approved shows sellers that you are serious about buying their home for sale in Incline Village, NV. With how competitive the market is right now, having this step done first usually moves your offer to the top of the pile. While we are on this topic, be sure to ask your Incline Village, NV realtor for a recommendation when it comes to a mortgage lender.
Mistake #2: Shopping above your means
This is another perk to getting pre-approved: You know how much you can actually afford. Which means you aren’t wasting your own time (not to mention your Incline Village, NV realtor’s time AND the seller’s time) looking at homes for sale in Incline Village, NV you can’t put an offer on.
Mistake #3: Making a lowball offer
Incline Village, NV real estate is in a seller’s market, which means low balling is not an option. This isn’t even recommended in a buyer’s market. The logic behind it makes sense if seller’s are desperate to move a home for sale in Incline Village, NV. You hope that if you make a lowball offer, they will counter, you will counter again and then end up getting the home for a price both parties are happy with. Right now, homes are going for close to full price if not over in some scenarios. If you low ball on real estate in Incline Village, NV that is priced at market value, the chances are high that your offer won’t even be looked at. Of course if you are using a qualified Incline Village, NV realtor, you can rest assured that the offer price they advise you to make will be a good one.
Mistake #4: Purchasing something MAJOR while in escrow
Had your eye on a something big and shiny? Time OUT! Whether it is a new car, a boat or a motorcycle, do NOT change your debt to income ratio. If you think you locked in a certain loan amount and you are in the clear to be free with your finances during the pending process, you are incorrect. The lender’s under-writer will re-check your credit report right before close to confirm you can still qualify for the loan. Making a big purchase could result in a few scenarios including a last second change to your financing OR cause it to fall through last second.
Mistake #5: Not saving for the closing costs
You must set aside money to cover the closing costs if you are expected to help cover this expense. If you don’t, you may not make it to signing and could lose your earnest money deposit. Be sure to read the estimate from your mortgage lender on what the costs will be before you make an offer on real estate in Incline Village, NV. This is legally required but some buyers overlook it. Usually, this cost ranges from 2% to 7% of the purchase price. While the sellers and the buyers generally split the closing costs, the buyers usually cover a bigger chunk so be sure to save enough to cover your portion.
If you are ready to buy a home for sale in Incline Village, NV, give me a call. As a qualified Incline Village, NV realtor, I would be happy to assist you with the process.