So here it is “Mistakes Home Buyers Make But Shouldn’t Do” a blog post not for the feint hearted especially if you are prone to making some or all of these mistakes yourself.
It can’t be denied, buying your first home is a very emotional experience, especially for a first-time buyer. So it is understandable if you get very excited when you hunt for your dream house, and you get all worried when your finances just don’t seem to be enough for the ‘perfect property’ you found a few days ago. However, if you want to avoid making these mistakes home buyers make, it is wise to not let your emotions get the best of you when investing in property. Remember that the whole process is already so stressful and expensive that you wouldn’t want to add to that by making one of these mistakes.
- Sticking to limited options.
So you have been keeping an image of your dream house in your head all the time you’ve been house hunting, and you refuse to opt for anything less than what you have in mind. As long as the house you’re dreaming about is not custom built, most likely there will be plenty of options out there that have similar features to the property you desire. For example, there are neighbourhoods where all the houses have the same design. There are also areas where several properties were constructed by the same builder so they contain similar features even if they have different facades.
If the house you have your eye on is carrying certain problems, like too many defects or an inflexible price, then you should look at other options rather than making the mistake of investing in property that looks like your dream home, but will turn out to be a nightmare.
- Being tempted by a house that is out of your price range.
One of the more serious mistakes home buyers make. When you fall in love with a house, you start to imagine living in it and all the wonderful ways you can decorate and customise it. Even if you know you can’t afford it, you may be tempted to find means to increase your loan just so you can snatch your prize property. Or you can start to get depressed because you feel you are settling for less than what you deserve. To avoid this, stick to properties within your price range when you are doing your search. Begin with the lowest amount because you just might find something you love within that range that you won’t even have to go to the higher range. And that extra thousands of pounds you saved on the price can be used for other expenses.
- Letting desperation or frustration control your decision.
Sometimes you just want to have your own house already so bad that you just decide to go with anything you can afford. Or if you’ve been experiencing one bid rejection after another, you become desperate and opt to go for something very different from what you actually want. If you have reasonable requirements for your ideal home, don’t give up too easily. Something will come up or maybe you just need to widen your search a bit more.
- Ignoring the flaws.
In relation to the previous three mistakes, when you are overcome by emotions, you can overlook important things, like huge repairs that will cost a lot. And when you’ve already bought the house, it will be expensive, difficult, or even impossible to get rid of it because of costly transaction fees and the hassle of moving again. This is also one reason why it is always advisable to get a survey before making an offer.
- Believing you can DIY all needed repairs.
This time you are aware of the flaws and damages of the property, but the location is just too perfect you simply can’t miss the opportunity. Besides, you won’t have to spend for expensive repairs if you do all the work yourself, right? Well, if you do eventually get to do all the fixing, congratulations. But if you realise that you actually don’t have the time or skills to do all the work, be prepared to spend for even more costs than you anticipated. If you already started a project but it was poorly done, it will be more expensive to fix or redo it because you have to pay for labour and new materials. Not to mention all the time and energy you wasted.
- Being too quick to make an offer.
It can be so tempting to lay a deal on the table the instant you feel you have found ‘the one’, especially when you know competition is stiff. You may even be so eager to buy the house that you end up offering more than the asking price. Have you even inspected the neighbourhood for security, privacy, and noise issues? Will the property even appraise at or above the amount you offered? If it won’t, you won’t be able to get a mortgage unless the seller reduces the price. Or you pay the difference in cash, which means it will come from your own pocket. And what if the markets turn when you need to sell this house and you can’t get a buyer? It is wise to first discuss your offer with your estate agent to assess if the purchase price for your desired home is really reasonable.
- Being too slow to make an offer.
You don’t want to rush anything, but you also don’t want to drag things. If you wait too long and someone beats you to settling a deal, you may end up heartbroken. And it means you need to start the property search all over again, further affecting your time, money, and other activities. Yes, you need to spend enough time to weigh everything, but one day will ideally suffice. Sleep on the decision, and if you still feel good about it when you wake up, then consult with your estate agent if you should already make a move.
Mistakes are a part of life, especially when you are still inexperienced. But when it comes to expensive investments and major decisions, like buying a house, it is essential to avoid making mistakes as much as possible, because correcting it will be extremely difficult. We hope you enjoyed “Mistakes Home Buyers Make But Shouldn’t Do”. If you have any experiences you’d like to share feel free free to leave a comment below.