Buying your first home can be both exciting and overwhelming. You're excited to finally be done with apartment living and live in a place you can call your own. However, if you have never bought a home before, it is easy to make mistakes. Here are five common first-time homebuyer mistakes you should avoid making:
Not Considering Additional Expenses
Owning a house comes with several different expenses. In addition to paying your mortgage and home insurance every month, you will also be responsible for property taxes and any repairs the home needs. If the water heater breaks down, for example, you will have to pay for the repairs. It's important to consider all these possible expenses before purchasing a house.
Skipping a Home Inspection
Although a home inspection is not required, it is completely necessary. During an inspection, a professional will search for defects on the property, such as faulty electrical wiring or plumbing. An inspection might cost some extra money, but it can save you more down the road. If the inspector finds a lot of problems with the home, you can avoid sinking money into a house that needs a lot of repairs.
Not Working With a Real Estate Agent
An experienced real estate agent can make the home buying process much simpler. He or she can answer all your questions, help you counter an offer and even negotiate your bid. Interview several real estate agents and choose the one you feel most comfortable with.
Buying a House You Can't Afford
Just because you get approved for a certain loan amount, doesn't necessarily mean you can afford it. To avoid financial problems in the future, it is important to choose a mortgage you can realistically pay every month.
Not Considering the Neighborhood
Even if you absolutely love a house, the neighborhood it's in might not be right for you. For example, if you have little kids, you may want to live in a neighborhood with a good school district and plenty of parks. Do not hesitate to ask your real estate agent about the neighborhoods you visit.
As you can see, the home buying process can be a little complicated. However, if you take things slow and take your real estate agent's advice, you will be less likely to make mistakes. If you feel unsure about something, do not be afraid to talk to your real estate agent. Click here to learn more about how to buy a home the smart way.