How to Prevent a First Home Mistake

Published by julia | Filed under Buyer / Seller Tips, Miscellaneous, Real Estate, Shout Outs

Buying that first new home is a change that is filled with anxiety, excitement and energy. In the midst of these emotions, a homebuyer could make some very real mistakes that may haunt them for years to come. The process of buying that first home starts with a home search, but is it really a search if the potential buyer has chosen the perfect home without ever looking?

The Internet opens a huge portal in the real estate world. All a buyer needs to do is log onto the Internet and search for homes in a given area. Once the search is narrowed down by price, bedrooms or square footage, there will be a short list of homes that fall into the acceptable category. From here, buyers click on images and maps to find out where the home is located. With enough legwork, the buyer can also find the address and visit the home before even seeing a real estate agent.

This type of search is great for knowledge, but the real estate agent is trained to know about the pros and cons of every home. Just because the home looks great on paper, does not mean it is the perfect home for the buyer. The search should empower the buyer, not limit them to the results only THEY find.

Another huge pitfall is assuming income. Buyers may choose to enter into an adjustable mortgage or an interest only loan for the first few years of homeownership because they PLAN on making more money in the future. This is a huge mistake. Life change, things happen and if that income hike is not there, the mortgage (in full) will eventually come due and the owner will see the Foreclosure sign before they can write the check.

The key word when searching for that first home is LOGICAL. The buyer needs to be logical about the home they need, logical about what they can afford and logical about the amenities in the home. Just because you think you want a particular home does not mean that is really the home you need or the home you will love for the next 30 years.

Owning real estate is a huge step in life and one that should never be taken lightly. A real estate agent, or even a seasoned home owning friend, can help start the search process for that new home and help the virgin buyer steer away from the bad and the ugly choices they may make out of haste.