How can you identify a fair price for a potential home? Follow these three fundamental rules, and you’ll never have to deal with the buyer’s regret that comes with overpaying.
- KNOW THE COST OF THE HOMES IN YOUR POTENTIAL NEIGHBORHOOD
In the real estate industry, you will hear these numbers referred to as “comps” or “comparable sales.” Don’t let these terms scare you. Simply put, running the comps just means uncovering the value of a home you want to buy by discovering recent selling prices for similar homes in the area. Finding this information should give you a good idea of the true value of your potential home.
We know it’s tempting to go the easy route. However, we encourage you to go a step beyond looking at the listing prices of homes in the area. Instead, look at prices that were actually paid. A real estate agent can assist you in finding these concrete numbers.
- SKIP THE OPEN HOUSE
The anxious energy of an over-crowded open house can cause a competitive hype that encourages overpaying. There are better ways to find a new home, use them! Work with a realtor, or even on your own, to secure a private showing of homes you’re interested in. Once in the home, don’t just focus on the flashier, topical aspects of the home. Pay attention to the major assets, like plumbing, roof, electric and the foundation. Problems with these fundamentals can add thousands to your overall cost down the road.
- DON’T RUSH
Buying a home is a major purchase. Don’t get in a hurry. Find out everything you need to about the home, the neighborhood and your options. If you have to hurry because of a major life change, like a job relocation, enlist a real estate agent to help you navigate the nuances of your new neighborhood. Real estate agents have insights and connections that give them insider information on neighborhoods that most buyers simply don’t have. An experienced agent can help you find the perfect fit fast if you are in a pinch.
Are you looking to find a home without overpaying? A real estate agent can help you find the right home at a fair price. Our real estate agents are experts in Middle Tennessee real estate, and would be happy to guide you in your home search. Call us at 615.807.0579 to begin.