Mistakes to avoid when buying a home in the summer
As families prepare to move or relocate before the new school year, summer is a popular time to buy or sell a home. However, there can be some disadvantages to buying at this time of year. The following are three mistakes to avoid when buying a home during the summer.
Mistake #1: Not researching the summer market
Each season has its own unique ups and downs in the real estate world. Summer is no different; elevated competition for homes can lead to elevated prices, bidding wars, and other high pressure situations. As many homeowners who list their homes in the summer are trying to buy and sell a home at the same time, buyers should be prepared by making sure their loan applications, credit history, and budget and savings are all in order.
However, there are a number of advantages to buying homes in the summer. With foliage in full bloom, you get to see a potential home at its best. This also gives buyers the advantage of going to showings in ideal weather. Likewise, moving during the summer minimizes disruptions to kids and school schedules.
Mistake #2: Missing the warning signs
While warm summer weather may be ideal for scheduling showings, it can also cover up potential problems in a home. Look for warning signs, particularly of moisture damage; look for gaps, swelling, or warping around windows or doors, which is often a sign of water damage. Watermarks, mold and mildew growth, or discoloration on the ceiling are all additional signs of water damage or moisture issues.
Even if its hot outside, take the time to view the outside of a home. Look for damage to siding, cracks in the foundation or sidewalk, and even areas of discolored or dead grass or landscaping, all of which can be warning signs of issues with the home. A thorough home inspection is often the best way to identify potential problems before closing.
Mistake #3: Not being ready to close
Spring is known as the season with the most inventory; summer has fewer homes on the market, but a higher demand. Because of this, potential buyers should be ready to move on a property, make an offer, and close as soon as possible. This means doing the following:
- Being ready to make an offer quickly. Make sure you are pre-approved by a lender and have funds available for earnest money.
- Minimize negotiations. With increased demand, a property may have gotten multiple offers. Minimize stipulations and negotiations to avoid pushback from the seller or them selecting another offer.
- Keep the end in mind. Need to be in your new home by the start of the school year? Make sure to begin with the end in mind; this often affects when you need to start looking for a home, as well as how long you are in escrow.