With so many properties and houses for sale to choose from, it can be difficult to find which one will exactly suit what you want. It’s a big and important purchase — of course, you only want to buy a home you’ve been dreaming of for a long time.
But, before you take the plunge, read this guide from Gates Estates to avoid mistakes that many first-time homebuyers make.
Don’t forget to factor in other home-buying costs. It’s not just the down payment that you need to worry about. There are other costs that come into play — appraisal fees, closing costs, broker fees, inspection fees, and so on. Aside from these, you also need to set aside a budget for taxes and insurance.
Don’t commit to a property before getting a pre-approved loan. Even if you think a house is perfect for you, don’t commit unless you have already worked out your finances. Make sure the monthly payments you need to pay can be properly covered by your budget. Look around for the right mortgage lender first before deciding to commit to a property.
Don’t assume that everything works. Even if it’s new, take the time to carefully check every nook and cranny of your potential home. If you ever find problems in your house after you’ve already bought it, such as circuit breakers shutting off or not enough hot water supply, a good solution is to put a clause in your contract that says they will fix unidentified problems.
Don’t hesitate to negotiate. This is surprisingly one of the things that most homebuyers fail to do — negotiate. Don’t be afraid to talk and negotiate to get a good deal that will fit your budget. In most cases, negotiations work in the homebuyers’ favor.
Keep in mind these common mistakes before deciding on purchasing a new home.