Luxury Home Buying Mistakes

Luxury Home Buying MistakesIn a previous post, we covered the home buying tips that are essential for luxury homeowners. From selling a current home to finding another, there is no shortage of advice. However, in a competitive market, not understanding how the process works or making an emotion-based decision can end in ruin. As an agent, you know your affluent clients require more diverse insurance coverage than others, and their home-buying process needs to be tailored to their needs as well. In addition to securing their investment with a High-Value Home Insurance policy (which has higher limits for specialized products) share with them the following information.

Mistake #1: Buying the home off of first impression.

While the home might look beautiful, luxury home buyers need to examine the layout and structure of the home before purchasing. Disregard the current owner’s lifestyle and décor. Instead, prospective owners need to evaluate the functionality of the space and how it will tailor to their families.

Mistake #2: Not having a thorough inspection.

A luxury home has issues just like every other one. Choosing to forego an inspection can cost luxury home buyers excessive money in the long run.

As AZLH Blog explains, buying a home is a major financial decision that is often made after having spent very little time on the property itself.  A home inspection performed by a competent company will help you enter the negotiation process with eyes wide open, offering you added reassurance that the choice you’re making is a sound one, or alerting you to underlying problems that could cost you significant money in both the short and long run.  Your realtor can suggest reputable home inspection companies for you to consider and will ensure the appropriate clause is entered into your contract.

Mistake #3: Not reading the contract.

Luxury home buyers should comb through the contract utilizing the resources available to them, such as their lawyer and real estate agent. Ensure all the relevant clauses are included, the contract is fair, the sellers are making the necessary fixes, and more. If not, it could end in a messy legal battle.

About Mavon Insurance

At Mavon Insurance, we pride ourselves on our unique approach to insurance. We focus on integrity, communication, professionalism, respect and gratitude to help our clients succeed and place business in specialized markets. For more information about our products, or to become an agent, contact us today at (877) 426-2866.