Are you thinking of taking the plunge and buying your first home? Or perhaps your second, third or more? Or, know someone who is? Don’t let your emotions or inexperience cost you. Here are a few mistakes that some home buyers make.
#1: Guessing about what you can afford
There is no point in spending much time looking at homes that you can’t afford. Worse, is making an offer on a home and then having the financing fall apart at the last minute. Online calculators can give you a general idea, but they don’t take into account your personal situation. Therefore, it is critical that you contact a mortgage professional before you start your search. If you don’t know where to start, contact me and I can point you in the right direction.
#2: Not Hiring a REALTOR®
Not only should home Buyers of all types use a good mortgage professional, they also need an experienced REALTOR®. A REALTOR® not only help with the search, but can find comparable homes and what they sold for, give advice on location, pricing and a multitude of other issues that you may not even know are issues. A full time REALTOR® see hundreds of homes each year. You many have you seen? And, they know the paperwork.
The expertise of a good REALTOR® is essential and it is important to find one that you can trust and you can work well with. (And since the commissions are paid from the transaction, it only makes sense to have someone on your side!)
#3: Overlooking the additional costs
Buyers must be aware that there are additional costs to purchasing and owning a home. First, there is the cost of a home inspection. There are also legal costs for the lawyer and related disbursements such as tax adjustments, condo and HOA fee adjustments and more.
Also, don’t forget about the costs of ownership. If you have been renting, some of them may have been hidden in your rent. Now, not only do you have the mortgage payment, but you also have utilities, taxes and maintenance costs to deal with. Be prepared!
#4: Skipping a home inspection
It may seem like a smart idea to save a few dollars and not have a home inspection done by a professional but that could be a costly mistake. Home inspectors know what to look for and hidden problems can be very expensive. I highly recommend that you attend with the home inspector during the inspection as they do a great job showing you the “ins & outs” and the “do’s & don’ts” of maintaining your biggest investment.
It is important to know that you are not putting your money into a property with potentially expensive problems.
Questions? Give me a call at (403) 253-7326 and I will be happy to help you with one of the biggest decisions you will ever make.