Buying or selling property is often described as one of the most significant milestones in life – it’s huge, in other words, and it’s something that a lot of people work towards for years; it’s their ultimate life goal. But although it’s something positive, and it’s a process filled with excitement and anticipation, the fact is that underneath it’s really complicated, confusing, stressful, and there just seem to be lots of issues (mainly financial ones) that can catch people off guard. So with that in mind, let’s take a look at some of the hidden challenges that come with buying and/or selling properly that you might not be aware of but that it’s vital you know and can do something about – read on to find out more. 

Photo by Photo By: Kaboompics.com

The Emotional Impact 

For many, a property represents far more than just bricks and mortar – and you’re probably one of those people if you’re buying the place to live in and to be an investment. In reality, most people think of a property as a place to make memories, to see goals come true, and to get a sense of belonging, so it makes sense that whether you’re buying a new home or selling a property you’ve lived in for a long time, emotions are probably going to run pretty high. 

There are all kinds of emotions that you’ll be feeling, both positive and negative. After all, buyers can have to face disappointment when a dream home slips through their fingers due to stiff competition or unforeseen complications, and sellers can struggle with the emotional weight of parting with a home filled with cherished memories. Alternatively, the excitement and joy of the next step in life can bubble up as well and, in a really confusing situation, all these emotions can happen at once. It’s no wonder we all get so stressed and just want the entire process over and done with. 

The key is to acknowledge these emotions – every one of them – and try to look at things in a more practical way. As hard as that might be, it’s the best option if you want to make good choices and move forward without too many problems. 

Confusing Contracts 

When you’re buying and/or selling a property, there’s going to be a contract (sometimes more than one, in fact) involved, and although you’ll need to understand what you’re agreeing and signing, it’s very often complicated to say the least. Those contracts will be written in ‘legalese’ and you’ll need to basically translate it all so you can make sure you’re not making a mistake and that you’re signing the right documents – you don’t want any nasty surprises later on that you should have been prepared for. Scarily, overlooking or misinterpreting a single line can lead to massive financial or legal consequences.

That’s why it’s best to have a real estate lawyer to help you. They’ll be able to check through any contracts or other legal documents to make sure it’s all correct and that it’s what you’re expecting – and they’ll be able to guide you through the process, talk about any potential issues, and generally make sure you’re making the right choices for you, protecting you from potentially dangerous financial mistakes and making everything clear. That’s going to help in so many ways, including reducing how stressed and overwhelmed you could be feeling, so it’s wise to find a great lawyer for any property transaction. 

The Unpredictable Market 

The property market can be massively unpredictable, as you might already know – anyone who’s been keeping an eye on property prices over the last few years will have seen how up and down it can be, and often that can depend on a lot of different factors, like the location, the property’s condition, local economic conditions, market trends, and interest rates – there’s a lot to consider and it all adds up (or doesn’t – that’s part of the problem). 

And this market unpredictability can cause all kinds of problems that become bigger challenges – for buyers, a booming market might mean having to compete with lots of other people for one property, while a slower market might tempt them to delay purchasing in hopes of lower prices. Sellers, meanwhile, have to work really hard to find the right balance between pricing their property competitively and also still getting the money they’ll need to actually make a profit and move to their next place. 

It’s crucial to stay informed about the market and choose the best time to buy or sell, depending on what it is you want in the end. If you’re downsizing, for example, you might not sell at the same time as you would if you want to buy a bigger house and need more money, for example. Think about what your plans are, how much they’ll cost, and what you could get for your home before doing anything – if you have to wait for a while, that might be the best choice. 

Financing Complications 

Getting your financing for your house move is one of the most important elements you’ll need to get right when it comes to buying a house, but it can also be one of the most challenging, and one of the most stressful – it’s a really long process, and you’ll have to present a lot of evidence to banks or other lenders to prove that you can afford the repayments on the mortgage you want (or rather need) to borrow. You’ve got to meet all kinds of lender requirements and, to make things even more complicated and problematic, lenders all seem to have their own list of what you’ve got to do on top of the main requirements you need to meet. In other words, applying for a mortgage isn’t a straightforward process – and if it goes wrong, it can mean all your dreams of buying a property can be shattered. 

And it’s not just buyers who can find financing stressful – sellers can have problems too. After all, if someone’s interested in buying their property and then they can’t get the funding they need, that means the seller can’t move on either (unless they drop the price to one the seller can afford). They’ll either have to start all over again or they’ll give up altogether and take the property off the market. 

The best thing to do if you’re buying a property is to get an agreement early on in the process so you know what lenders are willing to give you – in that way, you’re not going to be disappointed, and you’ll know what houses you can afford. And for sellers, make sure you check on the buyer’s ability to get their funding before you agree to anything because that can save a lot of time and misery down the road.