It can be scary being a first time home buyer. It can seem that the process is more difficult than it should be and more ready to fall apart at any moment. This feeling was recently confirmed by a research report from Trulia that reported a significant increase in last minute cancellations.
According to the San Francisco Business Times, Oakland saw its number of failed deals rise dramatically from 3.9% to 8.5%. The two most common factors for failed deals were unique hurdles for first-time home buyers, such as lack of knowledge of the process and additional scrutiny of finances, and the age of the home. Homes that are around the 50-year mark are due for major capital improvements, improvements that sellers might not discover until the home is in contract and inspections are performed.
So what can be done to ensure a successful transaction? For buyers, especially first time buyers, the best thing would be to take advantage of first time home buyer training and classes. The additional benefit is some of the classes certify you to participate in first time home buyer benefit programs like down payment assistance grants. For sellers, if you are thinking of putting your home on the market, you should order a home inspection. A home inspection will evaluate all of the systems in your home and give you a realistic view of the cost of repairs. You can then perform the repairs or discount the price accordingly.
There is no need for a transaction to fail, especially at the last minute, if proper planning and consideration are performed ahead of time. For more information on how to ensure a successful closing, call Kees’ Realty today.