If you are a first home buyer, you cannot be expected to know all the rules and what to watch out for when buying property. Here are the common mistakes first home buyers make that are simple to avoid.
1. Stretching the budget
When calculating the numbers involved in purchasing your new home make sure you are having a clear idea of your financial limits and build in a buffer. At auctions it is far too tempting to bid an additional $5K you just do not have. Your new beautiful home will not be consolation if you cannot cover the repayments.
2. Not budgeting for hidden costs
The price tag on your dream property is not all there is to purchasing a home. There will be costs involved such as pest inspection, stamp duty as well as legal fees to cover title searches and the conveyance of the title. Furthermore, costs such as insurance, moving costs, council rates and maintenance are additional expenses you did not have to worry about while you were renting. Make sure you are budgeting for hidden costs, so you can enjoy your new lifestyle without any nasty surprises.
3. Not sorting out your finances
Get your home loan pre-approved, so you are ready to pounce when you find your new dream home. Having your paperwork and finances in order can make all the difference - you do not want to miss out on a home you truly love! That is why seeing your Mortgage Broker early on in the home purchasing process is a great idea. With a variety of lenders and products on their panel, Mortgage specialists can offer you professional home loan advice tailored to your individual needs.
4. Not being able to manage your emotions
If you are purchasing your first home, you are going to be emotional. Buying a property is a very personal decision and it is important to ask a third party to help you stay objective and think about every aspect of the purchase. A home is a huge purchase!
5. Not getting a building inspection
There are a variety of different things that can be wrong with a building that you might not catch with the naked eye. That is why it is so important to spend a few hundred dollars on a trained professional and save yourself a fortune in repairs on things you are unaware of.
6. Being impatient
Don’t get search fatigue if you have been looking for the right property for a while. If you are tired of having everything ready and not finding the right fit for you, it becomes tempting to buy the next home that comes along. Always keep in mind what the top priorities are for your dream home and do not purchase a property just because you are getting frustrated.
7. Doing it all alone
Even if you are purchasing on your own, you should not have to face the buying process alone. There are experts out there whose job it is to support you in those areas you didn’t know about or you are unsure about. Surround yourself with specialists you can trust and the home purchasing process can become a much easier one.
All of our brokers here at Mortgage Choice in Indooroopilly have a combined industry experience of over 47 years and a tone of knowledge regarding the home buying process. Give our friendly team a call on (07) 3878 7777 today and make a time to chat to one of our brokers, or drop in and see us at our Mortgage Choice kiosk in the Indooroopilly Shopping Centre. We can’t wait to meet you!