One of the most crucial decisions in life is purchasing a home. Being properly educated
on the do’s and don’ts can make buying a home less hassle free and make it a great
Here are the most frequent mistakes home buyers make:
1. Not using a trust advisor
Working with a professional will get you the best price with a hassle free
2. Looking at homes out of your price range.
It is critical to get a mortgage assessment done before looking at homes to gage
what you can afford. Get a full mortgage pre-approval from your bank or broker
(a commitment from the lender stating the purchase price and your interest rate.)
3. Purchasing the wrong home
Making a wish list of what your home consists of will erase your “regret of
purchase” in the future. For example, number of washrooms, bedrooms, what
type of neighborhood.
4. Not hiring a home inspector to save money
Now a days, even new homes need to be inspected. Checking everything from
the foundation to the roof can distinguish a disaster in the future from a great
5. Only visiting the home once.
It’s important to visit your future home more than once. Seeing it in a different
light can change a person’s mind to purchase.
6. Letting fear get the best of you.
Although it is intimidating purchasing a new home, having done your homework
will make you more at ease. Having a fixed asset will set you on your way to
7. Not prepared for closing costs
Keep in mind, the down payment isn’t the only cost. Land transfer taxes, lawyer
fees, insurance and other costs still linger before the dead is done. Keep all
additional costs in mind.
8. Deciphering your mortgage
It is critical that you “understand” your mortgage. Understanding your mortgage
will save you money in the end. There are many factors to a mortgage,
amortization, payment privileges, whether the mortgage is portable and insurance
needs. Again, doing your homework will have your pockets thicker, not thinner.
9. Understanding purchasing a new and resale home
Both have advantages and disadvantages. Comparing them is key. Resale is
what you buy is what you get. New is having choices from finishes to location.
Although keep in mind there may be construction delays.
10. Preparing for moving day!
Contacting the priorities, movers, utility companies and secure all insurance.
Failing to do so will add more headache and hassle, instead of joy and excitement.