Doing anything for the first time is always a learning experience. However, when you are buying a home for the first time, you can't really afford to make mistakes. The excitement and pressure of buying that perfect home usually gets to first time buyers, and as a result they often end up making mistakes. The 7 mistakes every first time home buyer must avoid are given below.
1. Choosing A Risky Mortgage Plan
Buyers unaware of the intricacies of mortgage plans, sometimes choose a plan that is risky and entails more interest payment in the future. For example, buyers think that getting an adjustable rate mortgage will initially lead to smaller interest payments. What they don't realise, is that after the initial low interest rates, the rates …show more content…
This approach is loss inducing for the buyers as they might overlook substantial house damages. Ultimately, the buyers will have to pay for the repair work themselves.
4. Going Over Budget
In their excitement to purchase a house they really like, buyers sometimes appear over enthusiastic. At such instances, sellers tend to take advantage of buyers by quoting an unreasonably high price. This often leads to buyers going over their budget and splurging on a property that they could have procured for cheaper.
5. Avoiding Multiple Visits
First time buyers often seal the deal after a one time visit and later regret their rash decision. Since it's really hard to know everything about a place with one measly visit, it's always recommended to visit the house more than once. Multiple visits helps in acquainting you with not only the house, but the locality as well.
6. Focusing On A Particular Neighborhood
Some buyers become adamant about wanting a house in a particular locality or neighborhood. This is never a good idea, since it restricts you limits your property choices. You can always try to look for places in the adjoining locality as you might find better options at lower prices.
7. Keeping Away From
1. Choosing A Risky Mortgage Plan
Buyers unaware of the intricacies of mortgage plans, sometimes choose a plan that is risky and entails more interest payment in the future. For example, buyers think that getting an adjustable rate mortgage will initially lead to smaller interest payments. What they don't realise, is that after the initial low interest rates, the rates …show more content…
This approach is loss inducing for the buyers as they might overlook substantial house damages. Ultimately, the buyers will have to pay for the repair work themselves.
4. Going Over Budget
In their excitement to purchase a house they really like, buyers sometimes appear over enthusiastic. At such instances, sellers tend to take advantage of buyers by quoting an unreasonably high price. This often leads to buyers going over their budget and splurging on a property that they could have procured for cheaper.
5. Avoiding Multiple Visits
First time buyers often seal the deal after a one time visit and later regret their rash decision. Since it's really hard to know everything about a place with one measly visit, it's always recommended to visit the house more than once. Multiple visits helps in acquainting you with not only the house, but the locality as well.
6. Focusing On A Particular Neighborhood
Some buyers become adamant about wanting a house in a particular locality or neighborhood. This is never a good idea, since it restricts you limits your property choices. You can always try to look for places in the adjoining locality as you might find better options at lower prices.
7. Keeping Away From