Avoid Costly Homebuying Mistakes: Advice from a Real Estate Attorney
Buying or selling a home is one of the biggest financial decisions most people will ever make. Yet many buyers and sellers enter the process without fully understanding the legal steps involved or the costly mistakes that can derail a deal.
Dan Wade, a real estate attorney with Ianniello Anderson, P.C., works with clients across the Capital Region and North Country to guide them from contract to closing. His advice is simple: get informed, stay proactive, and do not cut corners where it matters most.
Do Not Skip the Inspection
In recent years, competitive housing markets have pushed buyers to take risks to make their offers stand out. One of the most common is waiving the home inspection.
While that may strengthen an offer, Wade cautions that it can also open the door to expensive surprises. A licensed home inspector provides critical information about a property’s condition, from structural issues to aging systems that may soon need repair. Without that knowledge, buyers are purchasing a home with limited insight into potential repair costs.
An inspection gives buyers a clearer picture of what they are buying and can influence negotiations, pricing, or even whether they should proceed at all. For sellers, inspections can also help avoid last-minute disputes. Addressing known issues early reduces the likelihood of renegotiations that can delay or jeopardize closing.
Keep Utilities On, Especially in Winter
On the seller side, Wade sees a surprisingly common and costly mistake: turning off utilities before closing.
In Upstate New York winters, shutting off heat or water can lead to frozen and burst pipes. The resulting water damage can devastate a property before the deal is finalized. Instead of canceling service, utilities should remain active until the buyer transfers them into their own name at or near closing.
Water damage is one of the most destructive and expensive problems a home can face. A simple oversight can turn into thousands of dollars in repairs and potentially stall a transaction.
Protect Your Financing
Buyers using mortgage financing must be especially careful not to make major life changes during the transaction process.
Changing jobs, making large purchases, opening new credit lines, or even changing marital status can affect underwriting and slow or derail loan approval. Lenders verify employment and financial stability right up to closing. A sudden shift in income or debt can require additional documentation or trigger a denial.
Planning major events, such as weddings or career moves, outside of the home purchase window can help keep financing smooth and predictable.
Watch for Fraud and Inflated Fees
Beyond inspections and financing, one of the most serious risks today is fraud.
After closing, a recorded deed becomes public record. Wade warns that some companies monitor these filings and send new homeowners official-looking letters offering certified copies of deeds for inflated prices. These mailers can charge up to $200 for a service that typically costs only a few dollars through the county clerk.
Even more concerning is wire fraud. Cybercriminals may intercept emails and alter wiring instructions, redirecting closing funds to fraudulent accounts. Buyers should never rely solely on emailed instructions. Always verify wiring details by calling your attorney or title company directly using a trusted phone number.
That extra step can prevent a devastating financial loss.
Take Advantage of Legitimate Programs
Homeowners should also be aware of legitimate programs that can save money. In New York, primary residence owners may qualify for the STAR program, which provides a school tax rebate if income requirements are met. Registration is free and can return hundreds of dollars annually.
Understanding available benefits is another way to protect your long-term investment.
Camps and Seasonal Properties Require Extra Diligence
In regions like the Adirondacks, seasonal camps and waterfront properties often come with unique considerations. Buyers should ensure wells and septic systems are properly inspected and understand any applicable regulatory oversight, including environmental or park agency rules.
Insurance requirements may also differ for part-time residences, making early conversations with providers important.
Knowledge Is Your Best Protection
At its core, Wade says, real estate law is about setting expectations and helping clients understand each step of the process. When buyers and sellers know what is coming and what to avoid, transactions move more smoothly and with fewer costly surprises.
Working with experienced professionals, asking questions, and taking the time to understand the process can make the difference between a stressful transaction and a successful one.
For more information, visit ialawny.com or contact Ianniello Anderson, P.C. directly.