You can’t just buy a home without having a budget, researching the market prices, selecting an appropriate location, and more. It’s a big investment as you’ll be spending your life savings on bricks and mortar. Which is why - you don’t want to make blunders and end up spending more than you should be.
The good news is that you can learn from other people’s property-buying mistakes to avoid making your own. And of course, you can always seek help from our experienced real estate agents in Edmonton to discover the real estate market. Buying a home requires patience and millennials today represent the largest share of homebuyers and they are not too patient.
Here are some common mistakes homebuyers usually make when they don’t seek help from experts:
Mistake #1: Overestimating Your Budget
Homebuyers, especially the first-time buyers, often focus on the down payment and monthly mortgage amount when calculating how much they can afford. In this process, they usually forget to factor in closing and other costs related to buying.
When dealing with so many listings, it might not seem like a huge number to stretch another $10,000 or $12,000 to get the home you really love. But that’s not how you play the game. First, get preapproved for a mortgage. This will make it evident to your realtor and home sellers that you’re pretty serious in buying a home. Also, it will give a brief idea to them of your upper limit.
Mistake #2: Not Checking Your Credit Report
This cannot be termed as a mistake, as it is pure carelessness. You need to know your credit score before you even start playing the game. You click through hundreds of online listings, compare floor plans and square footage, and you just want to kickstart your search. But before you visit open houses, make sure you have a copy of your credit report. You are likely to be preapproved for a mortgage at a low-interest rate if your credit report is clean and high.
Make sure you review your credit report a few months before you begin your house hunt. This way you’ll have time to ensure the facts are correct and check if there are dispute mistakes before a mortgage lender checks your credit.
Mistake #3: Allowing Your Emotions To Make The Choice
Don’t get too attached to any home before you check out at least three to four houses which are really nice and within your budget. While it’s hard to not get emotionally attached, you may end up spending more than you can afford. That’s why you should make a list of all the important things you need/want - such as a home close to the school or one that has a luxurious bathroom. After having the list ready, then you check off those items which are willing to give up. It’s not possible to find the perfect home that meets your entire list, so make sure you narrow your list to what matters the most through your search process.
A real estate agent can definitely help facilitate your searching and buying process. Therefore, make sure you meet a few estate agents before you hire the most reliable one. Our experienced real estate agents can help in the entire home buying process and can also warn you to make some common mistakes which homebuyers generally make. Do get in touch with us if you’re looking for a home in Edmonton!