A homebuyer has a clear idea of the kind of home he wants. That includes even the little details in the design, such as a new kitchen, the number of bedrooms, and many more. No one can tell what will happen to house values in the future, but if you make the right choice, you will surely get a house that you can live in for many years to come.
Many young people live in full residential communities, and it is exciting to buy a new home. It is also tempting to take the first house you like. However, it is wise to be patient and put a lot of thought and effort before making the final decision. You should consider many factors before deciding to buy a house.
Buying a home for the first time is an overwhelming experience. Most people buying a home for the first time usually earn about $75,000 and are aged about 32 years old. Therefore, when buying a home for the first time, this can potentially be the biggest investment in your life. Moving from full residential communities to a new home is a difficult process. Here are some common blunders that you should avoid when buying your first home.
Failing To Visit The Location
Location matters a lot when you want to buy a house. Make sure you visit the location and asses if you are satisfied with what you see. When you go online and see beautiful houses in one of the many home sites, do not proceed to start the home buying process before you visit the area.
As an inexperienced person who lives in full residential communities, one of the biggest mistakes you can make is buying a home without doing a house inspection. Many young people will decide to buy a home once they see a sign reading homes for sale. You should be patient and contact the seller or the agent. With the seller’s approval for inspection, then you can make an offer.
Failing to get Mortgage Pre-approval
You should ensure that you have gone through the mortgage pre-approval process early. It is very emotionally draining trying to negotiate the price. Some homes, such as luxury homes are very expensive. You should go for something that you can afford. The moment you decide you want to buy a house, you should get preapproved immediately. Remember to let the lender check your credit early on so that you will know in time if there are issues that might affect your score.
Forgetting Additional Expenses
One advantage of living in full residential communities is that expenses are very few. Therefore, when applying for a mortgage, you should remember the monthly charges. These charges normally increase at a rate of 1-5 percent annually. On the other hand, if you are going for single family homes, there are costs that you should budget for such as repairs. Therefore, you set aside some amount of money to cater for these expenses. You should also not forget utility bills, insurance, property taxes, and mortgage payment.
Using the Seller’s Agent
An agent is supposed to get you the best deal possible. If you use the seller’s agent, you will get the worst deal because the agent will be working on getting his client the best deal. Thinking that you do not need an agent is equally a bad idea. Even if you are a lawyer, you can get emotional during negotiations and end up on the losing end.
Buying a home is an intense experience. It is possible to get emotional, and those emotions can influence how you make decisions. You might love a house that is too expensive for you or you might get involved in a bidding war. On the other hand, you can get exhausted and choose a house that is not right for you. An agent can get you through this and help you make informed decisions.
Choosing the First Agent or Lender you Find
Just like any other shopping activity, it is good to look around for different services. After seeing several agents and lenders, you should compare their services and choose the best. A poor-rated agent or a lender can scuttle the process.