What Buyers Regret Most After Closing (And How to Avoid It)
Most buyers think the hard part is getting under contract. It’s not- the real surprises often come after closing.
Whether you’re a first time or seasoned home buyer, the rush of emotions that comes with a new home is pretty unmatched. But when the warm and fuzzies wear off, we want to mitigate buyers remorse and general anxiety as much as possible.
Common regrets:
Not budgeting for maintenance- this is a big one. Homes are never going to be purchased in pristine condition without any issues, that’s just not reality. What is realistic is that you’re going to have a punch-list of items to repair at the bare minimum. Sometimes there are larger items you’ll need to account for as well. Making sure to not throw caution to the wind and account for those likely future costs is absolutely of paramount forethought before finalizing any transaction.
Compromising on location- I always tell my clients, pay attention to what you can live with and most importantly, what you can’t. Location is something you really can’t change, so if the highway noise or distance from your main haunts is going to perpetually bother you, that’s okay!! Don’t force a square peg into a round hole. I often hear the phrase “If only we could pick this house up and put it in the neighborhood we love!”. Well not to burst your bubble, but ya can’t. I do often encourage my clients to come with me to neighborhoods that they hadn’t thought about living in before just so we don’t write it off too soon. However, if through that process or with previous experience you know that you’d not want to live in a certain area, let’s move on (it will never hurt my feelings).
Ignoring layout/functionality issues- Once again, let’s focus on what we can change. Given that my husband is a contractor, I do have a keen eye for transformation, that said with great transformation comes great financial responsibility. So let’s not get too hasty on “We’ll just knock out these walls and do an addition on the south side of the home!” If you have questions about viability within the lot size for additions or what it may cost to do certain kinds of remodeling- throw ‘em at me! I’ve got a pretty solid knowledge base at this point. I will also always be honest with you- meaning there will be plenty of times that the grandiose vision is just not very realistic for any array of reasons. Another important thing to pay attention to in regards to functionality is the age of the home- we see a lot of homes that have been renovated to be aesthetically pleasing, but the bones don’t match. There are many neighborhoods where homes were built in the 50’s & 60’s and guess what wasn’t addressed in the remodel because it’s too timely and costly? The plumbing, the electrical, the foundation…Often times we can guess by the neighborhood and the year the home is built what may or may not be going on beneath the surface, but if you’ve found your dream location in an older area- I encourage you to invest in all the extra inspection add-ons to make sure you’re protecting yourself and making an informed decision.
Stretching yourself too thin financially- I once had a breakup with a client because they specifically told me they couldn’t go above a certain monthly payment or else they’d have to sell their other beloved assets and work an exhaustive amount of over-time shifts just to get by. At one point in their journey, they found a home they wanted to offer on..only it was about $250K above their price limit. Through a cringe, I had to remind them that they simply couldn’t afford it, even if they low-balled the offer. The payment would be several hundred dollars (if not into the thousands) more than they could afford. They proceeded to scold me that it wasn’t my place to tell them what they could and couldn’t afford- though I strongly disagree. It is absolutely part of my fiduciary duty to support you in your long-term financial stability, and while I can’t predict the future, I certainly will be the voice of reason if the math isn’t mathing.
Why these happen- emotion + pressure + speed. As much as we do face a sense of urgency in many scenarios if you don’t want to lose your dream home to someone else, preparedness is how we beat the system. That and deep breaths!
How to avoid them-
Thinking long-term during showings
Having a clear “non-negotiables” list
Working with an agent who pushes back when needed
Having a clear current financial picture and realistic future projection
How do we close feeling secure? Buying smart > buying fast