Top 11 Millennial House Hunting Mistakes

Share

Congratulations, you’re finally ready to buy your first home. But finding a home is about more than popping into a few open houses and picking the one you like best.

We want to give you the tools so that you don’t make these classic house hunting mistakes. Made by millennials and generations prior alike…

In fact, there’s a science and strategy to it: A smart search means you’ll save time, money, and your sanity during the rest of your home-buying process.

1. Not Having A Mortgage Pre-Approval

Nothing screams “I’m not really serious” like going to look at houses without being pre-approved for a mortgage, says Sam Harris, an agent with Massada Home Sales in Brooklyn, NY.

That’s because a seller is unlikely to entertain an offer without a pre-approval. And in hot markets, that means you can kiss your chance at a promising property goodbye—there are plenty of other buyers with pre-approvals in hand.

In addition to improving your odds of making a winning offer, a pre-approval also lets you know exactly how much mortgage you qualify for, so that you won’t waste time looking at properties you can’t afford.

You might think your credit is Ok, but until a mortgage officer tells you that you can afford a specific price, it means nothing. Any agent you talk to is going to think you’re not serious about buying until you have that paper.

Don’t fear if that might be you. The agents at Wissel Homes have some great mortgage specialists on speed dial. Whatever your situation, they have someone for you to talk to.

2. House Hunting – Without an Agent

In this very tight market, the best way to find a house is to have a jump on the competition, says Bill Golden, a real estate agent with Re/Max Metro Atlanta Cityside in Atlanta.

“An agent will not only be the first to see when new listings come up, but they might even know about listings that haven’t even hit the market if they’re well-networked in the area where you’re looking,” Golden says.

A buyer’s agent can also help you avoid costly negotiating mistakes when it comes time to make an offer.

Alexander’s Note: Not having an agent means that your interests and privacy aren’t being protected. Anything you tell another agent – even if you believe it’s in confidence – means nothing. Unless they are YOUR agent with which you’ve signed a representation agreement they aren’t bound to protect your interests. Maryland law is very clear about this.  

There are a ton of other reasons that you want an agent helping you, but after confidentiality, adding to the point above is about your implied seriousness to sellers. 

Make sure that you are represented and that your interests are being prioritized. 

3. Not Knowing What You Want

It’s important to make a wish list before you start shopping, because looking at extremely different types of properties will slow down the process, says Brendan O’Donnell with Center Coast Realty in Chicago.

“I had a client who was interested in one-of-a-kind loft spaces as well as typical cookie-cutter vintage condos, and because they were so different, he wasn’t able to sort out his priorities and make a decision,” O’Donnell recalls.

It’s fine to consider many types of properties at first to get a sense of your options, but try to narrow them down before you fill your weekends with home tours.

Alexander’s Note: One of the most precious commodities that we know of today is time. A good agent will save you time and help you sort through homes. 

Why waste weekend after weekend seeing properties you were never going to like, when a strategic approach will narrow your needs, and potential dream homes, down. 

4. Waiting Too Long to See a House

In this tight market, if your real estate agent calls you about a new listing, do whatever you can to see it right away, Golden advises.

“Waiting even a day can make the difference between getting the house or not,” he warns.

In parts of Catonsville 21228, a hot Central Maryland Market at the time of this writing, the average home sells in 8 days. That’s the average! If you love a house, don’t wait.

And remember, a home can go under contract at any time. Yes, the agent says they are waiting through the weekend, or until a specific date… but you never know when an offer is in hand. A seller can accept it at any time.

So move quick and act fast to give yourself as much time as possible.

5. Inviting Outspoken (and Under-qualified) Advisers

Is Mom going to live in the house? What about your best friend? Yeah, didn’t think so. So, even though it can be wise to get an unbiased second opinion, beware the desire to get too many opinions.

Often these folks are offering observations based on their own living situation, notes Joshua Jarvis of Jarvis Team Realty in Duluth, GA. In other words, they think a huge backyard is heaven, but you’re the one who has to mow it!

Your home, your needs, your choice. Don’t bring advisors that aren’t on the same page as you.

6. Speeding Through an Open House

To get a real sense of a house, you must explore it in detail, and an open house is the ideal time, says Rachel Ivers with the Blake Team at Keller Williams in Aurora, CO.

“That includes opening closets and pantry cabinets to ensure you have checked out every nook and cranny,” she says.

Even though you’ll eventually have an inspection, use the open house to note red flags: Look beyond the fancy sheers hanging on the windows to make sure the windows themselves are hanging straight; flip light switches to check their upkeep; and inspect the floors and foundation to make sure they’re up to par.

7. Becoming Distracted by Hot New Features

Does the house look amazing at first glance? Sometimes you have to look a little closer, advises real estate agent RJ Winberg with South Pointe Properties in Rossmoor, CA.

He frequently runs across investor flips that look perfect, but the devil is in the details—and sometimes the details leave a lot to be desired.

“A house flip can be a great buy because everything is new, but only if you choose a house where the renovation was done well,” Winberg says.

As you’re house hunting, look carefully for signs that indicate a rush job (e.g., gaps between new flooring and the walls; paint spatters on light switches, outlets, and windows). He also says to note the brands and materials used.

“The appliances, faucets, lights, and other fixtures often look great just because they are new, but sometimes they are lower-quality options that won’t stand the test of time,” Winberg says.

8. Expecting Perfection

If you’re hoping to find the perfect-size house in the perfect neighborhood with the main-floor laundry room you want and the best schools, at a price you can afford, you can dream on, says Realtor® Aaron Hendon with Christine & Company with Keller Williams in Seattle.

“Two out of three isn’t bad,” he says, referring to your priority list. “It’s rare to get everything you want in any area of life, and home shopping is no different.”

Focus on what’s most important to you.

Lisa Wissel likes to tell clients to “focus on what you can change and what you can’t.” Inexpensive or easily changed items are less of a problem than bad layout or potentially expensive renovations.

9. Falling in Love with the Decor—Not the Home

So, you’re dazzled as soon as you walk in the door. But is it the house that’s winning you over? Or the decor? It’s a home stager’s job to make you swoon, and unless you can tap the stager directly for tips, you’re probably not going to be able to replicate the look once you move in.

“Make sure you are envisioning yourself in the home and falling in love with the house itself, not the house the way it’s staged,” Ivers cautions.

10. Ignoring the Neighborhood

When you tour a home, make sure you save some time to tour the neighborhood as well. Are the neighbor kids playing Metallica covers in the garage? Do cars speed down the street where your kids will play? The last thing you want is to be in a beautiful home in a nightmare neighborhood.

Once you’ve checked for any red flags, take some time to get the overall vibe of the community and make sure it’s right for you. Notice whether the neighborhood is quiet or bustling; whether it attracts families or singles; and whether neighbors congregate on their porches or keep to themselves.

Also, check for local shops, restaurants, or parks if amenities are important to you, as well as access to freeways and public transportation.

~

Alexander’s Note: All great points. We’d like to add to the last one. We often tell clients to experience an area  or community a number of times. Either before or after a showing.

Experiencing certain roads at rush hour and the middle of the day can leave you with a completely different impression of the area. Drive to your desired neighborhood after work to see what your commute might be like.

We believe choosing a neighborhood is almost as important as the home itself. We don’t live on an islands. Don’t ignore a home’s community.

We’re going to give you one more. One that might be more appropriate to the most tech savvy generation ever.

11. Believe Everything You See Online (…Just Don’t)

We use great photographers to present our homes in the best light. Many agents do as well. Many others do not. That means that a great home could look awful and a bad home could look pretty good – if you relied solely on the pictures.

Sometimes you do need to see a home in person to know whether you’re going to like it or not. Don’t write off that ‘worst picture ever’ house, it may be a diamond in the rough.

But it’s not just about photos. Things like Zillow’s infamously flawed Zestimates can give tech savvy shoppers too much information and overconfidence.

There are a lot of great apps and info out there. But don’t feel that because you’ve been shopping online for 4 months that you have a better hold on what things are worth than an agent of 15 years experience.

Homebuying is a process that should be about hubris – humility not arrogance. Experience matters.

~

The professionals at Wissel Homes know the Central Maryland market because it’s our home too. We live and breathe the local neighborhoods in Howard County, Carroll County, Baltimore County, Anne Arundel County and more. We understand what it takes to get the job done right. Contact us today to set up an appointment to list your home or to start the home buying process. Let our experience help move you into your dream home.