We have all felt it: the sinking feeling of buyer’s remorse. That “coulda, shoulda, woulda” moment usually happens when you realize that a little more preparation could have saved you from a major headache.
Because it is always better to learn from someone else’s experience rather than your own, here are the most common missteps first-time homebuyers make, and how you can avoid them.
Not knowing where to begin
When you don’t know where to start, buying your first home can be overwhelming. Do you meet with a real estate advisor, look at homes online or set up an appointment with a mortgage lender first?
Meeting with your mortgage lender first gives you a clear picture of what you qualify for so that you’re not shopping for homes outside your budget.
Once you sit down with your lender, you have the opportunity to get pre-approved for a loan. The pre-approval process is much more in-depth than getting pre-qualified, and positions you to close faster and potentially win a bidding war in a tight inventory market.
Not understanding the cost of purchasing a fixer upper
Darn those exceptionally cute, shiplap-loving husband-and-wife duo and their quest to make fixing up a house look like something a mere mortal can do. We’re here to tell you that despite what you’ve seen on “Fixer Upper,” purchasing a true fixer-upper is not that easy.
There’s a huge difference between a house with less than optimal curb appeal and a house that has foundation, structural, roofing, gasp!, or even mold issues.
Hire a home inspector first. If the inspector indicates there is a structural issue, hire a structural engineer to get a clear picture of what’s truly going on under the roof. Then you can accurately assess if the repairs fall within your budget.
Not choosing the right real estate agent
With all the information available to us via the internet, you’re probably wondering why you even need an agent, let alone a good one.
But before you enter into one of the largest purchases of your life without the help of an expert, take our advice and don’t go it alone.
You don’t just need any advisor; you need an expert who can help you navigate through the home buying process with ease.
Overspending
Yes, the charming bungalow with top-of-the-line everything might truly speak to you, but with a list price way over your budget, you’d better pretend like you don’t hear it calling your name.
When deciding on your budget, keep your end goal in mind. Most first-time home buyers typically stay in between 7-10 years. So don’t max out your budget by picking a house with high-end fixtures, appliances and finishes if you’re not planning to stay too long.
Pick good-quality solutions that are not trendy so when you are ready to sell, your home will appeal to a large range of buyers. In other words, in the good, better, best scenario, pick better, not best.
Learn from others mistakes to prevent those coulda, shoulda, woulda feelings from creeping in after you buy.
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Howard Hanna Allen Tate Real Estate is the #1 real estate company in the Carolinas, with more than 80 offices and 2,000 agents serving communities across North and South Carolina and Georgia. As part of Howard Hanna Real Estate Services, the largest family-owned and operated real estate company in the United States, Howard Hanna Allen Tate offers a full suite of real estate services, including mortgage, insurance, title and relocation. For more information, visit www.howardhannatate.com.
