Do your due diligence when buying a home

Source: New Condo Guide

By Cameron McNeill, MAC Marketing Solutions

It’s 2013 and thankfully the world did not end with the Mayan calendar. The online world and the media were abuzz with reports about the possible collapse of life as we know it, which got me thinking about where people tend to get their information. In today’s hyper paced world, due diligence is increasingly overlooked as we simply react to snippets of information that often represent only 25 per cent of the story. When making an important decision like buying a home, it’s a good idea to also consider where your information is coming from. Uncle Bob might be a great chemistry teacher but he might not be a financial whiz.

In the last issue of New Condo Guide, I offered some suggestions on how to select a Realtor. A Realtor is expected to understand the market and the buying process to give you reliable information. As you meet with various Realtors you will start to get some good information. But don’t stop there.

Using multiple sources is an important way to make a well-rounded decision, particularly on such an important purchase. Speak to your financial planner or interview a few who can be relied upon to offer sound advice about your financial position and how to reach your financial goals. Next, meet with a few mortgage brokers to understand where rates are going and what your mortgage options are. Lawyers who specialize in real estate, appraisers, and house inspectors are also great resources. Speak with people you respect and trust, and who have made good decisions either about housing or finances. The key in all of this is to ask lots of questions to a few people in each field so that you can feel confident in your decision and trust your instincts.

At the end of the day, buying a home is the largest financial decision you will make in your lifetime. Do your own thorough due diligence and you should reap the rewards.