Guest Blogger #817, Entry #1931, December 13, 2012
If you are currently in the market to purchase a new home “Congrats!” That is, without question, a goal that many people wish to obtain. However, if you ask a lot of people who are already home owners some of the things that they wish they knew before signing on the dotted line of their mortgage, you might be surprised that when it comes to getting the “American dream”, if you’re not careful, it has the potential to turn into an absolute nightmare.
Image via: Houzz
So, what are some of the common mistakes that a lot of first-time home buyers tend to make? We have our top five for you right here:
Not having a budget.
When it comes to thinking about the kind of home that you’d like to have, it’s fine to fantasize about how many bedrooms or how big of a kitchen that you want. However, none of that is really going to matter much if you can’t afford to pay for it all. Before you start looking at homes, make sure that you are realistic about how much you can afford to pay.
Not going with a reputable agent.
This is already a tough market for real estate and so there’s definitely something to be said for getting a professional agent who can help you to get your finances in order. If you can find one through the referral of a family member or friend, that is preferable. If not, try looking for one on the National Association of Exclusive Buyer Agents (NAEBA.org) website.
Not understanding what it means to get a foreclosure.
A lot of good homes went into foreclosure. There’s no doubt about that. But, don’t assume that every single house is a great deal. Just because one was once worth $500,000 and it’s on the market for considerably less, that doesn’t mean that it is currently appraised for that same amount. You definitely need to do your research on that before getting too attached.
Not having the home professionally inspected.
When you’re looking into buying a house that you really like, it’s understandable why your emotions may get into the way. All you may see is the fireplace, but not the shaky foundation of the mantle or the big bay windows that need to be double-pane or the vintage bathroom that could use some new plumbing. Every home needs to be inspected before someone moves in. There’s no way around that fact.
Image via: Gladu Design
Not putting your “poker face” on.
People who are selling homes tend to read body language pretty well. When your excitement translates into desperation, that makes it really difficult to do some serious negotiating. So, when you’re in the process of discussing the house with the seller, try and be as businesslike as possible. It’s OK to express interest, but try and avoid giving off the impression that you are willing to do just about anything to move in. Assess your finances, look over the house more than once and then offer a fair price. If it’s meant to be, it will work out without you having to become extremely stressed (or financially destitute) during the process.
For more moving tips on Stagetecture, click here.