It’s a huge step in your life — you’ve decided to take the plunge and buy a new home. Between the excitement and the influx of information, you may be feeling a bit overwhelmed. KRE agents specialize in working with first-time homebuyers, and are here to help you navigate some of the most common home-buying mistakes. What are they, you ask? Here are a few:
1. Not getting preapproved.
We can’t stress this enough — get preapproved! First time homebuyers often have misconceptions about what they can actually afford, and they may lose out on homes they love without a pre-approval from a mortgage lender. Doing the hard work on the front end will pay off big time when you find your dream home.
2. Getting stuck on quick fixes.
At first glance, a bright red foyer may turn you off of an entire home. However, it’s important for first time homebuyers to recognize the difference between quick fixes and major repairs. If you hate the entire kitchen and would need to gut it down to the studs to design an aesthetic you love, consider moving on in your search (unless a remodel is part of your budget). But some things like paint, window treatments and minor touch ups can be fixed easily and inexpensively — and some can even be worked into the closing contract!
3. Taking out new loans during the buying process.
Even with a preapproval, lenders will check your credit at closing to ensure nothing has changed in your financial situation. That means if you also bought a new car, took out a personal loan or opened up new lines of credit after your preapproval was issued, you could lose out on the mortgage expected.
4. Not thinking ahead.
As a renter, you’re probably in the mindset of your home being temporary. But when you buy, you’re likely taking on a much longer commitment. If you think your housing needs may change in just a few years (think having a baby, changing jobs, getting pets), consider those possible needs in your home search now. A narrow, four-story brownstone may appeal to a savvy city couple, but those stairs may be more of a burden if a baby enters the picture.
5. Going at it alone
Buying a new home is hard! It’s definitely a mistake for first time buyers to go through the process alone. Partner with a real estate agent who gets to know you, understands your needs and is committed to getting you in your dream home.
Ready to get started? Contact Krueger today and sidestep all these mistakes with a knowledgeable expert by your side!