Mistakes to Avoid When Buying a Home

Buying a home is not an easy process, especially if you lack experience in it. There is much more involved than simply picking a place and paying for it. The process can take a long time to get through, even if you have a real estate representative helping you. Before you make a fatal error in your home buying, take a look at some of the common mistakes below. Understanding these mistakes will help you get through the buying process as smoothly as possible.

1 – Not Knowing Your Budget

Before you even start to look at homes, you need to have a realistic budget in mind. A house is a long term commitment, so you do not want to overstretch yourself early on. Instead, you need to focus on calculating what you can afford in mortgage payments a month. Never get caught up in spending what you got approved for because that amount may be out of your logical price range, a situation that is referred to as being “house poor”. Only look at homes you can afford. Talk to your bank to find out what you can comfortably put down and pay each month. Get a pre-approved loan, so you aren’t disappointed that your offer fell through due to finances.

2 – Not Knowing the Neighbourhood

Great houses can be located just about anywhere, and some of them may unsuspectingly be in crime ridden areas that you want to avoid. Check out the neighborhood and see how bad the crime is in the area. You may also want to see how close the place is to transportation in case you need public transportation to get you to and from work. Do not see the house solely as a building on a lot. Think about all the other homes, buildings, area services, and so on, around before you commit to it.

3 – Not Getting an Inspection

Before you actually pay for the home, you need to make sure it is thoroughly inspected by a professional in the area. This will help you see if you need to renegotiate your deal due to an unforeseen problem. Roofing and foundation issues can be costly to repair, and you may not be able to notice them with a quick tour through the house. An inspector will know what to look for so you do not spend a lot of money unnecessarily.

4 – Not Buying When You Should

Many homebuyers will ask their real estate representative to show them tons of homes so they can see what they like. While it is important to keep your options open, you need to jump on a good deal when you see one. The housing market is stable right now, but good homes do not stay on the market long. If you know you have found "the one," put in an offer for it.

5 – Not Checking All the Costs

You have to pay for more than just the house itself when you buy a home. You have to think about insurance, property taxes, maintenance costs, utilities, and anything else that may come up on a monthly or yearly basis. Add all of those costs into your budget before you get a house that you cannot afford. Proper planning will ensure that you have a pleasant experience when you go to buy a home.

For more information please contact Neil Stephen

Bosley Real Estate Ltd., Brokerage