It isn’t fun saving money for decades and spending hundreds of thousands of dollars on a property transaction only to have buyer’s remorse. Before you sign and exchange the contract, your prospective property purchase must tick all the right boxes. You have to work closely with a solicitor every step of the way to ensure you don’t make a costly mistake.
Take your time and don’t be too impulsive and overly emotional. This usually requires loads of research as well some expert help to get the process right. Whenever you are purchasing a home, it is important to recognise that the cards are already stacked against you and things are only going to worse if you fail to do your homework and lack a clear strategy. Here are some tips on how to avoid a dud property purchase when you are shopping for property next time.
Research Extensively and Make Adequate Preparations
The worst mistake you can make when moving into a property purchase is failing to dig some background information about the home and the property market. You have to take time to carry out a thorough analysis of the market, look at your assets and financial profile and organise pre-approved financing before plunging head-on into the property hunt. Read widely about the property and the neighborhood; check the various amenities in the area and the crime levels among other important details. You have to pick an ideal spot where you can live in for the foreseeable future.
Keep Your Emotions in Check
One of the common reasons why many make a dud property purchase is because they let their emotions dictate their preferences. Once they see a shiny building somewhere, they forget about their original specs and are driven to make an impulsive purchase decision. Have a list of specifications and check as many houses as possible that fit your specs before you make the plunge. You can tag along your close friends or spouse to help you make a prudent decision.
Have Sufficient Protection Clauses in the Contract
Before you sign anything, ensure that you have all your interests well covered. Most of the standard clauses will offer you a “cooling period” of at most three days during which you still have some leeway to back out or renegotiate. However, you should work with your lawyer and incorporate more clauses in the contract that will fully protect your position.
Carry Out a Building Inspection
For most homeowners, building inspections are now a no-brainer. Yet some buyers till go enter into home purchase contracts without a professional building inspection. Hire a professional building inspection specialist who can have a look at the potential of the property you are purchasing and list the faults (or lack of them) in the property in a report. A building inspection report will always give you a negotiating edge and an overall peace of mind.
Don’t Go Solo
Don’t make the mistake of going into a property purchase process without professional help. You should have experts such as property lawyers, conveyancers and professional real estate agents who will offer you professional advice and smooth the way during the property purchase process. Don’t trust too much in your instincts; you will always need a second opinion in order to make sound decisions.