Stephanie Paterik and Catherine Reagor
The Arizona Republic

What you don’t know before you buy a home in one of the country’s hottest housing markets can hurt you.

Valley real estate experts say it is important home buyers know what to expect in the current market before hunting for that dream home. And, they say, there are universal tips to follow in any housing market, hot or cold.

The first step is getting preapproved for a loan, said Lisa Boe, a Keller Williams agent in the southeast Valley.

“Get educated so you don’t start dreaming of a big two-story mansion and start looking at houses and realize you can’t afford it,” she said.

Local real estate agents and experts weigh in on how to go from loan to home and all the steps in between.

Tips from the trenches

• The home-buying and -selling frenzy is starting to cool, but some sellers still have unrealistic expectations about what their homes are worth. Rely on a good real estate agent to help you determine the “real value” of a home before making a bid.

- Duane Washkowiak, Century 21 Metro Alliance and president of the Southeast Valley Association of Realtors

• Get preapproved for a loan before checking out houses. Knowing the amount of money you qualify for will keep you from wasting time looking at homes outside your price range.

- Kim Anderson, Guardian Realty & Investment Group of Scottsdale, who says the first question she asks clients is, “Have you spoken to a lender?”

• Buyers should look past their immediate needs and consider how obvious flaws in location or construction will affect the resale of a home. Sellers should realize as we transition from a frenzied market to a very active one that it may take 30 days instead of three to get their first offer.

- Tim Mullen, Realty Executives of Phoenix

• Don’t hunt for homes unless you are ready to buy and close on one in 30 to 45 days. Homes that are in good condition are still selling fast. Buyers have to be prepared to act quickly. If they don’t, someone else will.

- Meggan Shenefield, Re/Max Anasazi in Tempe

• Selling a home right now is just like playing poker. People have to know when to hold at current values and not try for just a little more.

- Liz Stalford, Russ Lyon Realty in Phoenix

• Affordable homes are selling in a day, so buyers should be ready to make an offer if they find something they really like in their price range.

- Bob Reed, Windermere Real Estate in Surprise and Sun City

• Picking the right mortgage can save a buyer thousands of dollars. Sometimes getting the right type of home loan is more important than getting a lower rate.

- R.J. Crosby of CTX Mortgage Co. in Scottsdale

• Buy soon before prices go up more, and bring as much cash as possible to the deal.

- Kitty Pabich, Coldwell Banker Residential in Sun City

• Buy in a community that offers the longest-lasting quality of life. Also, sellers should have sold last month.

- RL Brown, publisher of the Phoenix Housing Market Letter

• Make sure you find a real estate agent who has a personality compatible with yours. Don’t get caught up in flashy marketing, statistics or accreditations. Avoid agents that will dish you off to assistants once the contract is signed.

- P.J. Dean, the Dean-Maldonado Group of Phoenix

• Buyers should set priorities and stick to them, whatever they are: price, bedrooms, school district. Don’t become desperate to buy if you lose out on a deal. Such buyers can wind up owning a house they are unhappy with.

• Sellers need to know what they will do after their home sells. Have you found your next house? Will you move to an apartment? Do you know what homes are selling for in neighborhoods you like?

- Jay Butler, head of the Arizona Real Estate Center at Arizona State University’s Polytechnic campus