When you start your journey toward homeownership, it’s all too easy to make decisions based on fear, excitement and miseducation. It’s important to know what to expect so you can avoid making mistakes that can cost you time and money in the long run.
Truth is, the homebuying process is lengthy, requires a great deal of patience and shouldn’t be taken lightly. Your future home is a place where you plan to live for many years and should fit the needs of you and your family.
So, before you get too deep into browsing Zillow for the perfect house, let’s review a list of common mistakes first-time homebuyers make to ensure you don’t fall into the same traps.
Mistake #1: Not getting pre-approved
Buying a home is typically the biggest purchase you’ll make in your life, so you can’t go in unprepared. Before scheduling time with a real estate agent to view properties, please have a lender review your financial situation and issue a pre-approval.
By allowing a lender to assess your credit profile and income, you’ll learn the conditions necessary for a loan that covers the cost of the type of home you want.
With a pre-approval solidified, you’ll have a clear picture of home prices you can afford – making the process of searching less stressful.
Mistake #2: Not using a real estate agent
Look, I know the internet makes it seem like all you need to do is find a house you like online, then buy it. But it’s not that simple.
Having an experienced real estate agent help you navigate the market, find homes that meet your needs and negotiate prices on your behalf puts you in a position to make the best decisions for your unique situation.
Mistake #3: Not saving for closing costs
When buying a home, you may be surprised by the amount of money needed to cover your closing costs. Aside from making the down payment, you might also pay an appraisal fee, home inspection fee, mortgage insurance and other fees, depending on your loan program.
This is a good reason to keep the lines of communication open with your lender. They should prepare you for what to expect at closing early in the process, but in the event they don’t, be sure to ask! This way, you won’t face any unexpected expenses when it’s time to finalize your purchase.
Mistake #4: Choosing homes solely on appearance
One of the biggest mistakes homebuyers make when selecting properties is letting the cosmetic features be the deciding factor.
Always remember to have an inspection done to check for flaws that can’t easily be seen such as structural and foundation issues. Minor things like paint colors and flooring can be upgraded once you move in, so don’t pass up a well-built house just because you don’t like the carpet.
Buying a home is one of the most important purchases you’ll ever make. By being aware of common mistakes that occur during the homebuying process, you’ll be able to steer clear of pitfalls and make the best decision for you and your family. Looking for more tips on buying a home? Join the Flyy Credit University today by clicking HERE.