Hello, and welcome back to our blog! Last time, we talked about five common mistakes homebuyers make, and ones you should do everything to avoid! Whether you’re new to home buying or you’ve bought several homes before, it’s easy to let things slip through your fingers, or make mistakes that you weren’t even aware of. That’s okay! The real estate industry is complex, and sometimes the only way to learn is by making mistakes and doing better next time. In part one, we gave you five common mistakes including not getting a credit check, not getting preapproved, not thinking long term, not hiring a professional real estate agent, and not researching your real estate agent before hiring them. If you haven’t read part one of this blog, you can find it here. This time, we’re going to give you five more mistakes homebuyers make, and how to avoid them.
Not setting achievable goals
When you’re in the process of buying a home, you can’t afford to be too close-minded. Although some people may have the ability to buy any home they want, that’s not the reality for everyone. Most homebuyers are pushing every penny trying to get the best deal they can, and there’s nothing wrong with this! An important step in setting attainable goals is to sit down with your real estate agent and create a list of needs and wants. It makes this list so that you can reference it as you’re looking for homes. Each home you look at should, first and foremost, check all the boxes in the “needs” list before moving over to the “wants” list. Don’t get caught up on things in the “wants” list unless all of the boxes are checked for your needs. Having this sort of thinking process will help you greatly as you look for and compare homes.
Not researching neighborhoods
During all this time you’ve spent searching hundreds of listings and doing walkthroughs of homes, you may have forgotten to take a look at the neighborhoods that these homes are in. If you think about it, the neighborhood should be the first thing you research because you’ll most likely be looking at a lot of homes in one area. If it’s a bad neighborhood, then you’ll just be wasting your time. If you have kids, you should make sure that this area is a good place for them to learn and grow in. is there enough room to play safely? Are there parks nearby? Are there good schools nearby? These are all things you should take into consideration when researching neighborhoods.
Losing sight of hidden costs
If you’re a new homebuyer, you’ve probably been told to take into consideration hidden costs and closure costs. You’ve probably taken this advice to heart, but have you done adequate research on all these costs? Hidden costs include things like taxes, utilities, insurance, and other fees that you may either not have thought of or maybe heftier than you initially thought. When adding these to your overall financial plan, it’s always better to overestimate than underestimate. Although you can never know the exact price you’ll be paying for your home, you should take into account as many hidden fees you can think of such as moving costs, repairs, and any other fees you may have to pay once you are a homeowner. Once it comes time to do a walkthrough, take note of the condition of the home. Then do research on the cost of maintenance and create a forecast for the next several years. How much will this maintenance cost? Is it a necessary fix or can it wait?
Not hiring a home inspector
A home inspector will reassure you that the home your interested in is in a proper living condition. They will inspect a houses’ structure, construction quality, and any other system including electrical, water heater, and HVAC, in addition to the general safety of the home. This is an important step in the home buying process because it will tell you how much you will have to spend on repairs within the coming years after purchasing the home. Also, it may place additional responsibility on the seller to fix essential aspects of the home before it is sold to you. This will inevitably save you time and money in the long run.
Not knowing the value of your current home
If you’re selling your current home to pay for your new home, how can you expect to plan a budget if you don’t know what your current home is worth? When you’re searching on a home listing site, it’s just as important to know what your current home is worth for creating a long-term budget, and all of the same rules apply: use a professional real estate agent, account for hidden costs like repairs and costs associated with making your home look presentable for walkthroughs.
If you’re looking for a professional and experienced real estate agent in Holly Springs or the surrounding area in North Carolina, don’t hesitate to call Erica Anderson at Team Anderson Realty. Since becoming a licensed realtor in 2009, she has helped countless people find the house of their dreams at an affordable and manageable price. Believe us, we understand how scary and difficult it can be buying a home for the first, second, or even third time, but rest assured that Team Anderson Realty will be with you every step of the way. Contact us today.