Wednesday April 26, 2017 – By Paul Sonntag

The 3 Main Pitfalls in Buying a House

When it comes to the largest purchase in someone’s life it is surprising how many people fall into one or more of these pitfalls. Buying well in real estate is where people set themselves up for the future, so getting it right is vital.

The main areas buyers need to be aware of when buying a house are:

1. Don’t expect to succeed without a plan
It is become such a cliche, but it is so true. in order to succeed in anything in this world, you need to have a plan. When it comes to buying a house there are several plans do you want to need.

Working out exactly what you plan to buy should be your first step. Sit down with all of the relevant decision makers and put together what we call a Buying Brief. This should cover all of the facets of your purchase including location, budget, land size, features of the home (bedrooms, bathrooms, parking, outdoor space, orientation). You then need to number these based on importance because the chance of finding your ideal property the ticks all of these boxes will be almost impossible. But by numbering them you can quickly disregard properties based on this criteria, so you will be buying a house sooner.

On your days when you are out inspecting properties a plan or schedule is imperative. especially when you’re looking over multiple suburbs maximising every minute of your Wednesday or Saturday come in the difference of you inspect in your ideal property or not. spend some time on the morning of your inspections to plan out which properties you do when to minimise the amount of travel time in between. With properties potentially selling quickly I suggest that you do this on the morning of your inspections because if you are planning this few days before properties could have sold in the meantime.

2. Research your market
This is where private buyers can really fall down. And this is also where buyers agents can really add value. There is some great data available for free online, or spend the money and tap into the best data available. Spending money on good data should be seen as an investment towards you getting the best possible result with your next purchase.

The only way to be kept up-to-date with latest sales and happenings in your target areas is to be out networking with real estate agents. Call them, meet them at opens, spend time getting to know these people. Know what happens and when in your target market is so very important to allow you to fully understand the true values a property and any one time.

3. Don’t be afraid to pay for expert advice
Buying a house in Australia has evolved immensely in the past decade. In the past you just have to do it all yourself, though you now have the option of engaging professional Buyers Agent. Much like spending money for good data, spending money on professional help should be seen as an investment. considering the results that can be achieved by working with a true professional, it is an investment in every sense of the word. Buyer’s agents should be able to secure your ideal property how to price much lower than what you would be able to secure for. This saving should cover their fees… and some.

The majority of buyers agents in the market were “Once Upon a Time” selling agents. They should have a number of years of experience in property transactions, where they can bring this history to being able to get the best possible result for you. With more and more buyers agents coming into the market each month, this will only make it more and more difficult for private buyers to pick up a good purchase. Private buyers have to go up against years of experience, coupled with the fact the buyer’s agents are in the market six days a week. No wonder why so many guys find it so tough to buy in tight markets at the moment.

Being diligent to navigate these pitfalls can save you so much time and money. And if you get them right and you will be laughing when you are next buying a house. One major mistake in property buying can set you backwards by years, so don’t be in a rush and do the best that you can.