Buying a home is one of the most important tasks you will ever undertake in your life. That is a big part of why the home buying stress is real for many shoppers.
It is easy to get overwhelmed by that stress. Before long, you may start thinking about dropping the whole thing because the stress has become unbearable. We understand how challenging the process can be but do not give up on home buying yet.
Let’s talk more about home buying stress in this article. After that, we will offer some suggestions you can use to combat home buying stress effectively. Prepare yourself better for your foray into the real estate market by reading on.
What Causes Home Buying Stress?
Home buying stress is a real thing.
According to a survey conducted by Zillow not too long ago, around 50% of respondents shared that they cried at least once while going through the process of buying a home. Furthermore, 90% of the respondents said that at least one part of the process proved stressful for them.
Why is feeling stressed out such a common experience among buyers? There are some culprits we can point to.
The Constantly Changing Real Estate Market
The real estate market is constantly in flux. One season it may be favorable for buyers; the next, it may be better for sellers.
Given how quickly the market changes, some buyers may understandably feel immense pressure to act quickly. Buyers are more likely to experience that kind of pressure if they have a limited budget to work with. If they take too long to make an offer, they may discover that the home they are eyeing is now out of their price range.
Working under pressure is stressful for about anyone. Now, imagine what that is like when the task involves landing a good home.
Competition can be fierce inside the real estate market; if you and another buyer like the same property, the chances of a bidding war rise significantly.
Bidding wars can be stressful for different reasons. They can be stressful because you will likely pay more than you planned. On top of that, you wait on the seller and possibly even the other hopeful buyer to find out if your bid is good enough.
Sellers may hope for bidding wars, but they can be nightmarish scenarios for home buyers.
Negotiating with the Seller
Even without a competing buyer, dealing with a seller can still be stressful.
Sellers may put forth unreasonable demands if you want them to forge an agreement with you. They may also force you to wait a long time for their response, and that can be an anxiety-inducing ordeal as well.
Securing a Mortgage
Typically, a buyer will use a mortgage to purchase their dream home. Securing that mortgage could also be why you have a great amount of home-buying stress.
Identifying the right lender and preparing your requirements can be tiring and stressful tasks. It does not end there.
Buyers also endure long waits to see if they received approval on their loan request. Waiting is stressful enough. If your loan application is not approved, you will need to go through that process again, and it can be more draining the second time around.
Before approving a mortgage application, your lender may require you to get the property you are planning to buy appraised. Home appraisals can be beneficial to buyers, but they can be stressful for them too.
More often than not, you will pay for the appraisal yourself as a buyer. That is an expense you pay out of pocket.
The process itself can also be slow. Appraisals normally take around ten days. Consider yourself lucky if it only takes one week.
If an appraisal reveals serious problems with the property, you may need to turn your attention elsewhere. While learning about the true nature of the property is a good thing, going through the home buying process again can still be incredibly stressful.
How Can You Make the Home Buying Process Less Stressful?
Whether you are a first-time home buyer or a veteran of the process, you should expect the whole ordeal to be stressful. So, is there anything you can do about that?
You will be glad to know that there are steps you can take to make the home buying experience significantly less stressful. We have outlined those steps below. Follow them the next time you venture into the real estate market so you can manage the process better.
Partner with a Buying Agent
If there is one thing you must take away from this article, it is this: Hiring a buying agent will make purchasing a home significantly easier. Now, you may be wondering why we are telling you to look for a buying agent specifically.
There are several reasons why you will need the services of a buying agent.
First off, buying agents are legally obligated to protect the interests of home buyers. When you work with one, you can rest assured that they will only give you helpful advice.
Buying agents can also handle many of the tasks that make purchasing a home so stressful.
You can seek their assistance when you’re negotiating with a seller. They can also help you with offers that a seller is more likely to accept. If you are looking for a lender that offers good rates, your buying agent can help with that too.
A buying agent will be your best ally throughout the purchasing process. Do not enter the real estate market without one unless you are okay with making things unnecessarily harder on yourself.
Get Pre-Approved for a Mortgage
After hiring a buying agent, your next move should be to seek pre-approval for a mortgage.
By going through pre-approval, you see how much money you can borrow from your lender of choice. Your lender will also tell you what kind of interest rate they will attach to your loan.
Getting pre-approved is not easy.
According to Rocket Mortgage, applicants seeking pre-approval will likely be required to provide bank statements and pay stubs. Your prospective lender may also perform a thorough check of your credit before they hand down their pre-approval.
There is no getting around the fact that going through pre-approval will extend the home buying process. Thankfully, you are likely still early in the process if you are seeking pre-approval. It is easier to handle because of that.
Even if pre-approval is somewhat troublesome, going through it remains worthwhile because its benefits are that good.
Once you are pre-approved, a seller is more likely to take your offer seriously. They know that a lender is backing your offer, so they do not worry about the deal falling apart at the last minute.
As a buyer, you should also seek pre-approval for a mortgage because it gives you more wiggle room when presenting an offer. You do not necessarily need to beat the highest offer on the table to land the deal.
Beating the highest bid is possible if you present an offer backed by pre-approval that is close enough. That is especially likely to happen if the seller is looking to close the deal fast.
Gather Information before Negotiations
Negotiations for home prices can get drawn out because the seller is stubborn. However, fault does not always lie with the seller. They can also blame the buyer for bogging down negotiations if they make poor offers.
You should take the time to gather as much information as possible before you present your first offer. Learn more about the real estate market in the area and find out what comparable homes cost. Finding out the seller’s reason for putting their home on the market can also help you put together a better offer.
Enlist the help of your buying agent so you can gather information faster. With all that information in hand, you can come up with a good offer and also negotiate from a position of strength.
Do not Hesitate to Look for Another Property
When you negotiate with a seller, you always hope they are dealing with you in good faith. Even if they did not like your first offer, they should give feedback so you can come up with something better next time. A seller should also be flexible, especially if the buyer they are talking to is making concessions.
In an ideal world, both buyers and sellers will negotiate with open minds. Unfortunately, that is not always the case.
A seller may have a price in mind for their property and be unwilling to move off it no matter what data you present. They may also stubbornly list on their number even if the appraisal raises some concerns about their property.
There is no need to negotiate with a seller like that. Remember that walking away is always an option if a seller is being highly unreasonable. After all, your buying agent can still find similar properties that may pique your interest.
Reach out to us at RI Home Store if you need a dependable buying agent. We will assist you every step of the way so you can have a pleasant home buying experience!