When your Dreams go Up in Smoke

old-house

So you have made up your mind! You are going to make an offer on the home of your dreams. It is a charmer and you are in love. Reaching this stage of the process has taken a few days or months. Either way it’s a long road. You’ve scrimpted, saved, done your homework. Your lender has given you the green light – you are pre-approved.

Your REALTOR thinks there is a good chance. It is not raining. All positive signs. While you are signing the Offer to Purchase your REALTOR makes a call to the listing agent. It’s confirmed you are now in line. There are 5 offers pending presentation. Did I hear you say – @%$^@$%@$ – BUT!! You are crushed! You did all the right things, you listened to all the wisdom, paced yourself run the course and just when the finish line comes into site, you hit the wall. Momma always said, there would be days like this! This event has repeated itself many times in our current market. Like you, those people have been doing all the right things too.

At the moment you utter @%$^@$%@$ – BUT, take some comfort knowing there are four other people suffering the same trauma. You think – who cares about them!. You want this home! What do you do?

Figure out a Strategy and Stick to It

A couple of options:

Where does your budget bleed red ink? Do the numbers. Decide on your very best offer at the beginning. Most times, you will not get a second chance to up your offer. Be sure you include your closing costs in this total. Be reasonble. This should not include your first child or the family farm. The child – well maybe. The farm – never. ;>)

How flexible are you about closing dates? Are you able to let the seller determine these dates. Can you live with whatever they choose? Remember it could be 10 days or 3 months and more. If it’s 10 days know that your bank, lawyer can complete the documentation in time. If it’s 3 months and more, make sure your pre-approved interest rate is valid to that date. It could cost you a lot of dollars if you pass that date and the interest rate is higher.

When do you Walk Away?

Ultimately, if these primary suggestions are unacceptable, do not engage. Owning a home is a great thing. It can give you great joy and security. Oh, about the inspection report? Wasn’t there a notation about this charmer needing a roof soon? Over extending yourself, making a simple date error, forgetting those “other” things could lead to financial hardship. These anxious oversights can be costly. It’s the cost of a long term financial obligation without the home value you wished for. Your dream soon goes up in smoke.

If you are not diligent, owning a home can be bumpy. Akin to riding an albatross across the ocean.

About Larry Yatkowsky

Larry is a recognized real estate expert. A veteran professional, his experienced counsel leads Vancouverites in his west side community to place their trust in a man passionate about his work. Uncompromising ethics bring a balanced approach to realizing your real estate dreams.

When Life Moves You - contact Larry:

*Disclaimer: Statistics Courtesy REBGV. While believed to be accurate they are not guaranteed.
**Numbers provided may vary as they are dynamically posted by the REBGV.

Reader Comments:

November 8th, 2007 at 1:28 pm

Isn’t it funny how there are thousands of homes on the market to choose from, yet it seems that buyers always decide they want to buy the same one.

November 11th, 2007 at 1:15 am

Yep! Is always interesting to see how the world of buyers will coalesce on one home.

Comment On This Post

will not be published
http://www.yourwebsite.com