3 common mistakes buyers make

SOME BUYERS LET THEIR EMOTIONS CONTROL THEIR DECISION MAKING

Buying a home isn’t just buying a home. It is more than a place to live and raise your family. Oh, those are important factors and you wouldn’t want to buy a home that didn’t suit your lifestyle, but that home purchase is also an investment in the future. You need first and foremost to be well educated on what is involved  in buying and owning a home.

Ensure as you look at any home you are considering buying that you are not just looking at the amazing kitchen with the marble countertops. You need to be looking at the foundations, what type of plumbing has the home got, basically look at the bones of the home. The cosmetics of a home can be renovated more easily and less expensively than a major repair like foundations.

Additionally you may see homes that you fall in love with that truly push your financial capabilities to the limit. Do you want to be “house poor”? Remember a home purchase is a 25 year commitment to paying it off. That mortgage doesn’t go away easily. So take a moment when tempted to dive into a bigger, better home than you originally budgeted for and think first if it really worth it.

SOME BUYERS RELY TOO HEAVILY ON ADVICE

You most likely will get all types of advice during your house hunt. Certainly you will get professional advice from your Realtor and it is advisable to listen carefully. However you will also get advice form friend and relatives. While they undoubtedly mean well, do they really know. They likely don’t know the true state of your finances. Be polite and listen. You may get some nuggets of advice that are worth acting on, especially from those who have bought and sold real estate of their own in the past. Remember though this is your decision. You will live in the house and you will live with the consequences of your choice. Only proceed when you feel truly comfortable with what you are doing.

SOME BUYERS FAIL TO PULL THE TRIGGER

Some would-be buyers are indecisive and find the process too stressful. They are investing, in most cases, every dollar that they have saved for years. They are embarking on a journey that they haven’t travelled before. It is not surprising that some buyers, usually first-time buyers, are gun shy and fail to pull the trigger. Many will have lost out on their “dream homes” to more decisive or mature buyers who have travelled the road before.

So our advice is to plan the trip first. Seek professional advice, put your financing in place, ask a Realtor to outline the steps from start to finish. Make sure that you understand the additional closing costs and that you have budgeted for them such as lawyer fees, pro-rated utility and tax payments, land transfer tax and more.

Plan what you need in a home. The location, number of bedrooms and bathrooms, general size etc and combined with your budget, don’t even look at homes that don’t meet your needs and your budget.

Buying a home is an emotional experience, but try to keep your emotions out of what should be a hard-headed, rational decision.