How Not To Buy A Home

And avoid...

Buying a home for most people is the most major investment decision they will make in their lives. Therefore it pays to do it right and avoid the consequences. Part of the problem we see this very day regarding a co lapse in the sub-prime lending market is a result of people who want a home so badly that they make foolish decisions and then must pay the consequences. And don't forget, for those of you interested in making foolish decisions in matters of real estate, there are PLENTY of unscrupulous con-artists and flim-flam pseudo professionals out there to help you!

Here are 4 simple rules to help you with the successful process of finding a home.

1. Get pre-qualified by a knowledgeable lender who knows his craft and will put you in the right kind of loan. Something conventional is better than some kind of "exotic" arm that jumps up and bites you in the ... well, bites you in the wallet. Put some money down, too. I am not a supporter of 100% financing.

2. Just because you're approved for a huge loan doesn't mean you have to buy a home for the full amount. There is nothing worse than being house "poor". Buy what you can comfortably afford.

3. When negotiating for the purchase of your home, don't sweat the small stuff. Negotiations are a two way street and that means some give and take. Be prepared to compromise and take some direction from your Realtor. Your Realtor should know when someone is being reasonable in their request or response ... or not!

4. Remember this ... Realtors, THERE IS A DIFFERENCE! Some are definitely better than others. Do your due diligence and check references. Just make sure you use one since the cost to the buyer is ZERO