Home Buyers Beware: 13 Common Errors Made by Home Buyers

Take a look at 13 of the most common errors and mistakes of first-time home buyers

Home Buyers Beware 13 Common Errors Made by Home Buyers

Congratulations on your decision to buy a new home! You should be proud of yourself because you’re embarking on a big life project that only responsible and financially stable individuals can undertake. You’ve come a long way and you should ensure that you’re doing the best that you can to provide the best possible value to your hard-earned money.

Home buying is extremely exciting but it entails complex processes (and numerous decision-making instances!) that can easily overwhelm non-experts. To make everything easier for you,  we’d inform you of 13 of the most common errors and mistakes of first-time home buyers. This is in the hopes that you don’t commit them and experience a relatively hassle-free home-buying experience. Read on and duly take note!

  1. Lack of Research

Are you a good researcher? If not, then you better start reading up on it because home buying entails doing research after research after research. This is your very own home so you’d want to be sure that every single choice is good and intelligent. You need to research industry matters like debts, assets, mortgages, and financing plans. You should do your own research and avoid relying on others because you’d ultimately be the one calling the shots.

  1. Gullibility

Homebuyers often make the big mistake of feeling ‘the market’ far too much. Sure, you could read about it, ask around and take note of media reports, but you should never stall long enough that you lose a chance of buying the house or lot that you truly want just because you’re waiting for prices to drop. Your long-term lifetime decision should ultimately be based on your personal budget and financial plans and not on the sway of the market.

  1. Mortgage Choice

You should be slow in choosing a mortgage plan. Don’t settle with just one bank. It’s best to check out different banks and compare different plans. It’s all the better if you’d work with a finance broker who can hook you up to numerous choices when it comes to financial products and lenders. PRO TIP: Going house hunting with a pre-approved loan already sealed is best.

  1. Full Transparency

Full transparency is always advised on all occasions. But you should make a unique exception when you’re house hunting. Never fully expose your emotions to house agents. It’s best to keep a neutral and detached face at all times. Be neutral even if you’re already head over heels in love with a house. Being vocal about your biases and attachment to a certain house, space, or community can make you susceptible to aggressive and abusive parties and agents. It will be easier to manipulate you and make you agree to things you normally won’t agree to if people will know that you’re already attached and willing. Keep your cool and always be calm at all times.

  1. Overspending

This is a heartbreaking mistake that first-time homebuyers commonly make. Go house hunting all you want but always go armed with advice from a home loan expert and make it a point to look within your limit. Give exact budget limits and values at all times.

Home Buyers Beware 13 Common Errors Made by Home Buyers

  1. Going on your own

Sellers are fully protected because their agents go above and beyond in ensuring their interests. But what about you? Who’s protecting you? Researching can do wonders but it takes years for one to be fully aware of the ins and outs in the industry. To best protect yourself, it’s best to have an agent that will always work on your behalf. Choose to not go solo if the option is available for you.

  1. Not fully knowing your agent’s role and responsibility

Not all agents will come up with the best deal for you. If they’re connecting with you on behalf of a seller, then best believe that it’s the seller that they intend to protect and support at all costs. Never be misled that a seller’s agent is working on your behalf. Know who you’re dealing with and always protect yourself. Have your own agent that will fully represent you and protect you from committing errors and dealing with shady parties. Having one will also significantly make your decision-making easier as you’d easily have long lists of options of anything you want from single storey homes in Perth or beachfront houses in just a phone call.

  1. Failing to schedule a building inspection with professionals

Don’t forget to have a professional inspection done on your future home. Expect to find faults as it’s always better to be prepared and fully knowledgeable about what you’re getting into. Work with independent professionals.

  1. Wrong Attitude

Never be desperate. Enjoy the whole experience and don’t be easily stressed when mishaps, delays, and miscommunications take place. Always make informed decisions by taking your time and prioritizing your best interests. Never allow anyone, not even your agent, to rush you.

  1. Budget underestimation

You have so much to spend on and you should be aware of them all. You have to deal with acquisition costs like stamp duties, insurance, and valuation costs. Enlist everything in an organized manner to allow yourself to have a comprehensive view of your overall expenditure.

  1. Forgetting protection clauses

Always go slow when it comes to signing. Ensure that your interests are fully protected before signing anything. A signed contract cannot be renegotiated easily.

  1. Being fixated on your budget

Never settle for anything just because it’s cheap. Always check the neighborhood’s comparative market analysis to get a true feel of the value of a house. Anything sold at a lesser price should raise a red flag.

  1. Stopping with this resource

This list is not comprehensive. You should look for other resources after reading this. There is no such thing as too much knowledge when it’s home buying that we’re talking about. Stop at nothing until you have a definitive game plan and priority list when it comes to home buying. Research, research, research.

PPG Flagship Store by Foshan Topway Design

PPG Flagship Store by Foshan Topway Design

Apartamento na Almirante Reis by BALA atelier

Apartamento na Almirante Reis by BALA atelier