Exclusive Buyer

+ + Not getting a pre-approved home loan + + Not conducting a home inspection + + Compromising on your needs + + Relying solely on online services

MISTAKE #1: NOT GETTING A PRE-APPROVED HOME LOAN

Not getting a pre-approved home loan is one of the most common mistakes made by buyers — particularly first-time home buyers. Why? Some people looking for the first time are so excited and anxious to get the process going that they want to dive in, head first, without doing the appropriate financial research and preparation. Many aren’t sure they can even afford it, but believe that once they’ve found the right home, they can simply “make it work.” This is a major mistake. If you’ve already started checking out homes in person, going to open houses, without first talking with your bank or other home loan lenders to obtain a pre- approved loan, and without a buyer’s agent to work alongside you, this is a major mistake that can really hurt you. It shouldn’t come as a surprise, but the truth is that many listing agents won’t want to work with you if you promise them a certain amount, and then end up not being able to fulfill that promise because you don’t have the approved home loan to back it up. Your own assumption about what you can afford — both the down payment and the monthly mortgage payments, among other costs — can contrast significantly with what the bank is willing to lend you. This is especially true if you have poor credit or unstable income. Please refer to Chapter 1 on the steps you