Wouldn’t it be great if the home buying process always went smoothly with no issues?
The reality is, sometimes there are hiccups that can stall a sale. From getting cold feet to your home inspection revealing unwanted issues, there are ways you can navigate these bumps in the road before continuing on your journey. We spoke with REALTORS® to get some insight into these issues and their advice on how to manage them.
Your offer is rejected
John Mark Wilderspin, a REALTOR® with Century 21 Carrie Realty in Winnipeg, Manitoba, says you always want to put your best foot forward during the offer process.
“You want to leave the table knowing that at the end of the day, if someone paid $1 more, you’d be happy with what you did,” he says.
But sometimes the perfect home is almost at your fingertips, and soon after putting in an offer you get the news it’s been rejected. Now you have two options — make another offer or walk away.
If you’re making a second offer, if it is right for you, consider eliminating one or two conditions, says Wilderspin — though it’s never advised to remove the home inspection condition. There’s also the option of moving up the closing date or increasing your offer price. In some circumstances, it’s just best to move on and find another dream place you can call home. Your REALTOR® can assess the situation and provide the best course of action, keeping your goals (and budget) in mind.
The closing date doesn’t align with your current home’s sale
Let’s say you’ve sold your home to buyers with a closing date of Aug. 1, but the home you’ve purchased doesn’t have a closing date until Aug. 15. In this case, you may need to find a place to stay while you wait for the keys to your new home.
You can consider putting your possessions in storage and staying with friends and family, or staying at an Airbnb or short-term lease. It will be an added expense, but it could be the difference between getting the best financial offer for your home, or having to
settle for something less in order to have your preferred dates line up.
Chris Craik, a REALTOR® with Boyes Group Realty Inc. in Saskatoon, Saskatchewan, says “seeing the bigger picture is important. A week or two may be an inconvenience but it may be worth it to purchase your dream home.”
Your REALTOR® can help find a short-term rental as needed, and will also help negotiate with the other REALTORS® involved in the sales to get your closing dates as close as possible.
Home inspection reveals issues
Home inspections should always be included as part of your conditional offer on a home, as they can help identify both major and minor issues that could cost you money once you take possession.
If a home inspection brings up issues that aren’t enough to end the entire sale, your REALTOR® will work with the seller’s agent to negotiate terms for both parties. In situations like this, typically the costs of repairs are split between the buyer and the seller — but this depends on how the condition was laid out in your initial offer.
However, if there are major structural, electrical, or mould issues, your REALTOR® may recommend getting out of the deal completely. Even if you think the home is perfect in every other way, you’ll need to think of the big picture and ask yourself if you’re willing to put up with major issues and the financial commitment required to fix them. Odds are, you’ll be better off finding a new property — as heartbreaking as that may feel.
You get cold feet
Buying a home is one of the biggest purchases you can make in your life. Getting cold feet is not only normal, but it’s to be expected. Whether the jitters set in at the beginning or end of the process, you want to make sure you don’t lose money because of indecision. Working with a REALTOR® can help calm your home buying nerves. A big part of their job is to help you make smart, informed decisions for your lifestyle and future plans.
“Instead of looking at it as climbing a mountain, concentrate on your next move and keep focused on the task at hand,” suggests Craik.
There are some moments where cold feet will cost you, and this includes after your offer is firm. In this case, you may need to forfeit your deposit. Moreover, until you’ve got those keys in hand, it’s best to avoid any major life changes like purchasing a car or switching jobs as this may affect your ability to secure financing.
You get discouraged you’re not finding anything
“When you get discouraged, re-adjust your expectations and wait it out,” says Wilderspin. “Try to buy in the off-season when the market is a bit quieter.”
If you can’t find anything that meets all the boxes on your checklist, try seeing if you can turn some must-haves into nice-to-haves, such as parking or a big backyard. Another strategy to consider is buying what works for you and your family at this time.
“Sometimes we get so caught up in finding our forever home that we miss out on something that fits our current lifestyle,” says Craik. “As life moves on and things change, there’s always the option of selling and finding a space that’s bigger.”
If you get discouraged, take a moment and think about why you started in the first place and re-adjust your plan where necessary.
Whether it’s your first time or you’re a seasoned pro, sometimes the home buying process is not as smooth as we would like. Although there can be some hiccups along the way, your REALTOR® is there to help you overcome whatever barriers may come up during the home buying process.
— Realtor.ca