6 Silly Mistakes to Avoid At All Costs When Buying a House
April 5, 2021
“To buy a nice house is to buy a better way of life.” – Anonymous
Buying a house can be a daunting task. It requires a lot of research, preparation, and planning. The irony is that most buyers, especially first-time home buyers, end up making some silly mistakes, which cost them a lot in the long run just because they were poorly prepared for the transaction.
If you are planning to buy a house, and don’t want to make the common mistakes that every house buyer makes, then we have it covered for you. Mentioned below are the top 6 silly mistakes that you must avoid when buying a house.
Silly mistakes to avoid when buying a house
- Ignoring the research and preparation part
As already mentioned at the beginning of this article, buying a house requires a lot of research and preparation. This preparation involves a number of things, starting from understanding your personal requirements, your finances, and neighborhood research, and so on. All of this requires time and effort.
However, most house buyers tend to take this lightly and don’t invest adequate time understanding the ins and outs of house buying. As a result, they end up buying the wrong property.
If you don’t want to end up like them, be prepared to spend a lot of time researching on property market trends and researching neighborhoods so that you can make a well-informed decision.
Pro Tip: Start early, and meet a number of real estate agents to gather knowledge of the market.
- Confusing pre-qualified with pre-approved
You will be shocked to know how many people end up making the mistake of not having their loan
pre-approved. Remember, only a qualified loan officer can give you a clear picture of the exact amount that you can get in loan from the bank. This generally depends upon various factors such as your income, your employment status, your credit history, the down payment you are ready to make, and the value of the property you are interested in buying.
Knowing the pre-approval amount is a great way to begin hunting for a house, as it also puts you in a position to negotiate the deal, if required.
Pro Tip: Instead of going to just one bank or lender, go loan shopping to get access to the best finance deals available in the market.
- Buying a house that’s beyond your budget
There’s a famous saying – “Free cheese is always available in mouse traps.”
When searching for property, you will always find a real estate agent that will tempt you to go beyond your budget, and buy expensive property. You have to be smart enough to resist that temptation.
It is human nature to always want a little extra, however, you cannot take the risk of exposing yourself to the financial crisis just because of that temptation. You must remember that you have received a loan based on your ability to repay it. You don’t want to be stuck in a situation where you cannot repay the loan –do you?
Pro Tip: Plan your finances, set a budget, and don’t even think of going beyond that budget.
- Thinking just about the present
When you are buying a house, you are making an investment for the future. Therefore, you need to think about things in the longer run. This primarily includes the size of the property.
It is advisable to buy a house that can fit the growing needs of your family. After all, buying a house is a one-time investment. You don’t want to end up being cramped up for space after just a few years of buying the house.
Pro Tip: Assess your current and future needs thoroughly, before choosing a property.
- Not inspecting the house thoroughly
A thorough inspection of the house is something that you cannot afford to ignore before closing the deal. Remember, once the deal is closed it is entirely your responsibility to get all the repairing and maintenance done.
You don’t want to be stuck in a situation where you have to spend thousands of dollars on repair work right after buying the property, just because you were too casual about inspecting it thoroughly.
Therefore, it is recommended that you watch every nook and corner of the house carefully, and ask the seller to get the repair work done before buying it.
Pro Tip: it is always a smart idea to hire professionals to conduct property inspection before you buy just to ensure that nothing gets skipped.
- Not taking professional help
Taking professional help from an experienced real estate agent can be the best idea. However, many people choose to ignore it, thinking that they will have to pay a hefty commission for it.
You need to remember that these professionals are there to help you and charge for the expertise they bring to the table. Moreover, they are there to guide you at every step – from finding the right property options that fit your requirement to negotiating on your behalf and whatnot – there is a long list of reasons why you must choose professional help when buying a house.
Just like you don’t go to a court without a lawyer, you don’t buy property without professional help. No matter how prepared you think you are, you can never beat the experience and expertise that a good, experienced real estate agent brings.
Pro Tip: It is the best idea to get in touch with a Negotiator Recognized Partner and use their expertise for buying a house that’s right for you.
On a concluding note
We’ve tried to cover almost all the common mistakes that every home buyer tends to make. This is not to say that our list is complete or exhaustive. A number of other vital can play a role in buying a house, which may vary according to your personal and financial circumstances. It is advisable to carefully assess those circumstances and only then make your decision to buy a house.
Good luck with buying your house!