(11 REGRETS) When Buying A Home...

Thinking about buying or selling a home in Huntington Beach or Orange County? Start here: www.jebsmith.net/start

Buying a home is one of the biggest financial decisions you’ll ever make — and for many buyers in Huntington Beach and across Orange County, it’s also one of the most emotionally charged. But most people don’t lose money in real estate because of bad luck. They lose it because of bad decisions.

After 20+ years helping buyers and sellers in Southern California, I’ve seen every mistake in the book. These aren't hypothetical "what-ifs." These are real-world mistakes that cost people real money, real time, and real peace of mind.

Here are 11 of the most common regrets — and exactly how to avoid them.

1. Believing All Markets Are the Same

Real estate is hyper-local.

National headlines? They rarely reflect what’s happening in Huntington Beach, Newport, Irvine, or anywhere else in Orange County. Even within the same zip code, neighborhoods behave differently. Price points, property types, and local demand all matter.

If you assume a $1.5M single-family home behaves like a $500K condo, you’re already behind. I had a Bay Area buyer try to lowball every offer because prices were softening up north. We lost three homes before he realized his new market was appreciating.

Lesson: Know your market — down to the neighborhood.

2. Chasing Builder Incentives Without Looking at Value

New construction often comes with seductive rate incentives — 5.5% when market rates are 7%? Sounds great.

But those rate buydowns are often baked into inflated prices.

A client bought a new build for the incentives… but wanted to sell eight months later. Unfortunately, comps hadn’t moved. They sold at a loss.

Lesson: Always evaluate total cost of ownership, not just short-term savings.

3. Getting Suckered by Temporary Rate Buydowns

2-1 and 3-2-1 buydowns lower your initial monthly payment, but they’re a ticking time bomb if you don’t plan ahead.

A couple locked in a 2-1 buydown — 5% now, 7% later — and didn’t refinance when they could. Their budget didn’t account for the higher rate later. They were lucky to refi, but what if rates hadn’t dropped?

Lesson: Budget for the full payment. If you can’t afford it long-term, don’t do it.

4. Choosing a Lender Based on Rate, Not Reliability

Everyone wants the best rate. But if you’re chasing an online lender offering a quarter-point lower without doing your homework, you might be setting yourself up for disaster.

A buyer picked the lowest-rate lender. That lender blew three closing deadlines and cost them the house. They also lost $1,000 in fees.

Lesson: Choose a lender who answers their phone and gets deals done. A great rate means nothing if you lose the house.

5. Buying in Areas You Don’t Understand

A lower price isn’t a win if you hate the neighborhood.

Two clients bought new homes in areas they didn’t know well — all because of price and builder incentives. Both sold within a year. Why? They didn’t like where they lived.

Orange County isn’t small. It spans over 30 cities — and depending on traffic, getting from one end to the other can take 60–90 minutes. Buying a house 30 miles from your job, gym, or your kid’s school can drain your quality of life.

Lesson: Buy into a lifestyle, not just a house. Location matters. A lot.

6. Overplaying Your Hand in Negotiations

Yes, buyers have more leverage today than they did in 2021 — but this isn’t a free-for-all.

I had a client who didn’t want to budge during a multiple-counter offer situation, even though we knew exactly where we needed to be. They waited 24 hours… and lost the house to someone else at the price we would’ve paid.

Lesson: Smart negotiation is about balance — not domination.

7. Writing Offers Without a Strong Preapproval

A real preapproval isn’t a conversation — it’s documentation. Income, credit, assets: verified.

Sellers (and their agents) reject offers with weak preapprovals all the time. I know because I do it. If your lender can’t convince a listing agent you’re rock solid, you’re going to lose homes.

Lesson: Go through full underwriting before you shop. It gives you leverage — and clarity.

8. Maxing Out Your Budget

The lender’s max is not your budget.

I work with clients who qualify for far more than they want to spend — and that’s a good thing. They budget based on comfort, not capacity.

Lesson: Know the monthly payment you can live with — even if rates don’t drop. Build a buffer.

9. Underestimating the True Cost of Ownership

Ownership isn’t just your mortgage. It’s closing costs, inspections, insurance, property taxes, maintenance, future repairs — water heaters, roofs, you name it.

Lesson: Plan for one-time and recurring costs. Homeownership is powerful, but only when you’re financially prepared.

10. Getting Too Emotional in the Process

Buying a home is personal. But negotiations shouldn’t be.

A buyer cried after losing the “perfect” home. Three weeks later, we found a better one for the same price. Today, they laugh about the first one.

Lesson: Stay objective. Don’t let emotion lead you to overpay or miss red flags.

11. Waiting for the Market to Get "Better"

“I’ll wait until rates drop and prices fall.”

That’s not how this works. When rates drop, demand spikes — and prices rise.

Lesson: You can’t time the market, but you can time your life. If the right home comes along and you can afford it, act.

Buying in Huntington Beach or Orange County?

Here’s the deal: Orange County is one of the most competitive — and dynamic — real estate markets in the country. If you want to buy or sell without regrets, you need someone who:

• Knows every micro-market from Costa Mesa to Laguna Niguel
• Works with buyers and sellers to understand both sides of the deal
• Can guide you through negotiations, financing, contingencies, and timing

That’s what we do.

If you're planning to buy or sell in Huntington Beach or anywhere in Orange County, start here:

👉 www.jebsmith.net/start

Have questions? Drop a comment or reach out directly. No pressure. Just help.

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