Plano HomesBuying a Plano, TX home is one of the most exciting times that an individual will undertake in life. However, a property purchase is not without its challenges, and these can cause frustration. Below, we will share five potential setbacks that home buyers will need to understand and come to terms with to make a successful purchase.

1. Homeowner’s Insurance is Necessary

All Plano Mortgage Lenders will require homeowners insurance as a condition for loan approval. When you purchase HOInsurance, you will pay for the first year upfront, at closing.  If you have an escrow account, your Plano Mortgage Company will collect your premium on a monthly basis so that on the anniversary date of your closing, funds will be available to pay for the next year.  If there is a short fall in the amount collected, due to premium increase, the lender will use the reserve account that is created for you at closing to pay for the next years premium.

2. Some Sellers Are Firm, No Matter What

In an ideal situation, the buyer and the seller come to a mutual agreement very easily. However, in most cases negotiation of some type is likely to be a part of the process. As with most negotiations, to reach success both sides will need to compromise.  Rely on your Plano Real Estate Agent to provide you guidance and advice.

3. Probate Properties Have Special Terms

When the original homeowner has died, there are certain considerations to keep in mind that do not typically apply to other types of property. One is the fact that there is a special process that must be completed before the property can be sold, even though the heirs may advertise the property as being for sale ahead of time. Another factor to keep in mind is that a recently probated property may have been uninhabited for some time and will be sold ‘as is’.

4. Loan Offers May Not Be Set in Stone

A common pitfall for many buyers is the assumption that home financing will be approved without issue. Regulatory requirements, compliance issues, underwriting guidelines, and unexpected circumstances may arise that cause a mortgage loan to be denied, which can cause an unprepared buyer numerous issues. Many sellers, in anticipation of such problems, have a contingency requirement.

5. Expect Caution from Sellers If a seller treats your offer with caution or trepidation, don’t take it personally. Many Plano homeowners have been burned during previous sales, and you have no idea what the seller has been through with potential buyers this time around. If someone is exercising caution, there’s likely a good reason for it. Plano Mortgage Rates.

Resources

Top Tips For First-Time Home Buyers

7 tips for first-time home buyers 

Tips for a First-Time Home Buyer

The Upfront Costs of Buying a Home

What To Expect Buying Your First House

5 Tips For First Time Homebuyers

 

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