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When to walk away from buying a home

Buying a home is complicated, and it's easy to get swept up with your emotions when so much is at stake.
/ Source: TODAY

Buying a home is complicated, and it’s easy to get swept up with your emotions when so much is at stake. Author and HGTV host Egypt Sherrod stopped by studio 1A on Thursday to help channel those emotions. Read on to see in what real estate situations you should chill out — and when you should walk away.

You put an offer on a house and it is accepted. However, after getting the home appraised, its value is $30,000 less than your offer. The seller refuses to come down to the appraised price.

Walk away. No one should overpay for a house because the sellers weren’t being realistic about the market. And if you overpay now, that can hurt you even more when you try and resell.

Your listing agent isn’t aware of the comparable listings in the neighborhood and isn’t highlighting the best aspects of your home.

Walk away. If a client is unhappy for reasonable reasons, he or she can request a release. Keep an email trail of your concerns and complaints to justify a release.

Keep in mind that this situation can be mostly avoided if you vet our realtor before singing any paperwork. Make sure they know your neighborhood and understand the current market — and don’t sign with anyone who doesn’t appear to have that knowledge.

More than anything, you want to find a home with a private pool in the backyard. After searching, you find a home that has everything else you want — except the private pool.

Chill out. Look into the possibility of installing a pool after you move in, or see if there is a community pool or aquatics center nearby.

The home you are looking to buy fails inspection due to mold, termites and a compromised foundation.

If you are not used to fixing these kinds of issues or have the budget to do so, walk away. Mold can be cured, but termites and foundation problems can be very costly to repair.

You opt for new construction with a four-month delivery time. In the third month, bad weather moves in and construction is delayed another month.

Chill out. Delays are normal with new construction. If you are renting, see if you can go on a month-to-month lease in case you need to extend once more.

There is a lawsuit against the townhome community you are considering. As a result, they have issued a special assessment against the owners.

Walk away, depending on the circumstances. See how long the special assessment is and for how much. You won’t get the money back, so if it’s significant, look elsewhere.

You walk into the house of your dreams that is well within your budget. You want to scream with joy but the seller is there.

Chill out and chill out fast. Never let the seller see or hear how much you love the home, as you will then lose your leverage and it will become harder to negotiate.

After your second time seeing properties with your realtor, they haven’t shown you anything you would consider buying.

Chill out. It can take a few meetings for your realtor to figure out your taste and hone in on your sweet spot. It’s a joint effort, so make sure you are communicating openly and honestly.

There are multiple offers on the property you want to buy and you don’t think you have a chance.

Chill out. Negotiations are about more than just money. See if you can find out the seller’s needs and motivations, then see if you can meet their terms. It also helps to personalize your offer, so consider sending a handwritten letter and photo of your family so the seller sees you as more than just a number on a piece of paper.