5 Tips To Avoid Buyer's Remorse
You won the bidding war! Congrats! Now what?...
It's important to protect yourself against buyer's remorse! It happens to most of us after any purchase of significant value. And, because of the busy seller's market we are experiencing, it's even more prevalent with today's home buyers.
A Healthy Home Purchase
Don't get us wrong. You SHOULD have a healthy concern and awareness surrounding your home purchase. Buying out of pure excitement without mindfulness of the home's value, your budget, and if the home meets your needs will most likely lead to buyer's remorse.
Here are some tips on how to "healthy" handle and even prevent this scenario.
Concrete Budget Limits
Set and stick to concrete limits when it comes to budget. Once you've set your budget, build in some artificial wiggle room if you can by looking at homes that are priced $50,000-$75,000 below the top of your budget. That way, you have some flexibility to go over asking in your offer if needed.
By setting a firm budget, you'll know that if the bidding war goes above that threshold, you'll need to move on from that house no matter how in love you are with it. Getting into a deal that you can't afford comfortably will pan out to be worse in the long run than walking away from a house you love.
Prioritize Your Non-Negotiables
It sounds like a no-brainer, but you'd be surprised at how many people lose track of their top priorities, especially in a tight market with low inventory. Make a list of everything you want your ideal home to have and break them into two sections: non-negotiables and nice ones.
If the home you buy has the items on your non-negotiables list, you'll know that you're in the right place. Put your home wishlist on paper and refer back to it periodically so that in moments when buyer’s remorse is creeping up on you, you can remind yourself about all of the things this house does have that make it perfect for you.
Stop Looking After Acceptance
First, it's important to know a home is right for you BEFORE making an offer on it. Second, it's best not to be distracted by other options once you're under contract.
Stop reading about real estate prices going up or down and instead stay focused and grounded with these tips. Now that the search is over, start getting excited and plan for your future. Instead of looking online for homes, try looking at new furniture, home maintenance tips, or decor ideas.
Trust Your Gut and Your Agent
When it comes down to it, you have to trust what you feel is right for yourself. If you're having a tough time making a decision, there may be a reason your gut is telling you to hold back.
Your real estate agent should have your best interest at heart and be educated about the market as a whole. They'll be able to guide you to the right decision as an unbiased third party. If you're looking for a real estate agent who can help you navigate this market, we'd love to help.
Secure Your Peace of Mind
Experiencing buyer's remorse, especially after making a purchase as large as a house, is a completely normal feeling. A Trulia survey found that 44 percent of Americans had regrets or buyer's remorse about their current homes. At the end of the day, there are ways to ensure that you're protected should your sense of buyer's remorse turn into actual regret.
Perhaps you'll want to opt for an additional inspection before closing, and if issues are uncovered, you may be able to pull out of the deal before things get too far. Make sure to invest in homeowner's insurance from a company that you trust.