The idea of becoming a homeowner can be very exciting and perhaps a little intimidating. After all, there are a lot of steps that must go into the home-buying process -- and the last thing you want is to make a mistake. By being aware of a few of the most common mistakes made by first-time buyers, however, you can better navigate the home-buying process and end up with a home you love.
1. Not Knowing Where Your Credit Stands
One of the worst mistakes you can make when looking to buy a home is simply not knowing where you stand financially. Most importantly, it's a good idea to obtain a copy of your credit report before you begin getting pre-approved for mortgages. After all, your approval for a mortgage is largely based on your credit and finances, so you'll want to review your credit report in detail to make sure your score is accurate and that there aren't any mistakes that need disputing.
2. Failing to Consider All Your Mortgage Options
Once it comes time to apply for a mortgage, be sure to carefully research and weigh your options. While Federal Housing Administration (FHA) loans are among the most common for first-time buyers, they're far from your only option--so don't make the mistake of foregoing research on other types of loans. For example, if you have enough of a down payment saved up (around 20% or more), a conventional loan may secure you a lower interest rate and significantly lower monthly payments as well.
3. Waiting Too Long to Make an Offer
When you're looking to buy your first home, it's natural to feel some anxiety around placing an offer on a house. However, if you find a home that suits your needs and that feels "right" to you, the last thing you want to do is wait too long to make an offer. In this market, it's likely that waiting too long will result in disappointment when another seller sneaks in and gets an offer accepted before you.
4. Foregoing a Home Inspection
Last but not least, always insist on a home inspection as part of your offer contingency. A home inspection is the best way to spot serious problems with a home that could cost you thousands down the road, so give yourself that added information and peace of mind.
By avoiding these common first-time-home-buying mistakes, you'll be able to enjoy a more stress-free process. Contact a company like Century 21 New Millenium Inc. for more information and assistance.Share
17 April 2018
I have always been someone who is passionate about making the world around me more beautiful, which is probably why I was drawn to real estate initially. I really wanted to create a place where me and my family could spend a lot of time together in a peaceful, relaxing place, so I started looking for places in my area that were fit for the job. Within a few months, I was able to find an incredible property that was within my price range, so I purchased it as soon as possible. This blog is all about choosing beautiful real estate.