I closed on my first home on April 26, 2017. I still remember the stress of figuring out how I would juggle work obligations and my closing date. This was the third time my closing date had been moved. I was at risk of losing out on my interest rate. Additionally, since I purchased a foreclosed house, I had to work with the bank on the closing timeline.
My realtor agent was a wizard. We figured out an ideal time and location that would work for us and the attorney.
I cannot believe it’s been almost six years. I am happy with my home, but getting here was an experience of humility and growth. Over the next couple of weeks, I will share some of my experiences in a five-part buying a house series.
My Childhood Dream House
When I started my house search in the summer of 2016, my goal was to purchase a multiple-family home. I attended over 25 open housed and visited more than 50 homes. At first, I was set on buying a two-apartment home in my childhood neighborhood. I used to walk past the house every day on my walk to and from school admiring the outside bricks. Its light green and white colors, yard, green front door, and proximity to my school. I would daydream of owning it one day. Behold, when I started my house search, it came on the market. When I visited it, I fell in love again, but ignored some of the initial repairs I saw. I should have walked away then, but I was in love with the idea of owning that house.
While walking through the house, the seller’s agent was so friendly and helpful that I decided to sign a contract with her since I did not have an agent. Unfortunately, that was my first mistake because she had a conflict of interest from my perspective, or at least she wasn’t working for my self-interest.
Walking Away from the Deal
Afterward, I made an offer on the house, paid for the home inspection, and worked with a broker to begin finalizing the mortgage loan when I had to withdraw my offer. When I received the home inspection report, there were many issues with the foundation, HVAC, insulation, roof, windows, and rot from water damage. I could no longer ignore those concerns. I could not afford to make those changes, and the seller was unwilling to pay for them. My mortgage broker advised me to walk away from the deal. At that point, we knew the house would not be appraised for the value at which it was being sold.
Additionally, the lender would most likely walk away. My agent also advised me to walk away after trying to get some concession from the seller. As a result, I lost $550 for the home inspection and cannot even calculate the cost of my emotional stress. I was upset by that experience, but I learned from the process.
If I were to do it again, I would find an agent before I started visiting homes. At least then, I would know that person would work for my self-interest.
I decided to continue working with her, but we agreed that she would not show me a house that she was the seller’s agent. Meanwhile, she felt so awful about my experience that she went into overdrive trying to get me into my first home.
So, first lesson learned: Get your own agent before you start looking at houses, especially if it is your first time!