| Buying a Home can sometimes seem to be a | | | | 4) Not Having a Home Inspection |
| daunting task, filled with details and pitfalls. It's hard | | | | Some buyers try to save a few bucks by not having |
| to remember everything as you are going through | | | | a whole house inspection or by doing it themselves. |
| the process, but if you can avoid the following seven | | | | Saving money today this way could end up costing |
| common mistakes you will come out way ahead. | | | | you thousands in the future. |
| 1) Not Getting Pre-Qualified | | | | Get a qualified Home Inspector to go over the entire |
| This is the step you take before you even start | | | | house, inside and out, basement and attic. His report |
| looking at homes, and it will make your life so much | | | | will call out all deficiencies and suggest repairs and |
| easier. Start your home search by visiting a lender. | | | | further action. The findings in the report may also |
| They will ask specific questions about your income, | | | | give you leverage you can use in the negotiations |
| bank accounts, debt, etc. and will help you determine | | | | with the seller. |
| how much home you can afford to buy. Stick within | | | | 5) Not Considering Long Term Needs |
| the limits they set for you and you will be much | | | | It is important to think ahead. Is your family growing? |
| happier in future years. Their guidance is an important | | | | You may need more home 3-5 years from now. |
| first step on the path to home ownership. | | | | That "cute breakfast nook" of today will not be so |
| 2) Thinking There is Only One Perfect Home For You | | | | cute when six people are bumping knees trying to |
| Buying a home is usually a process of elimination. You | | | | squeeze into it. Will this home suit you in the future, |
| have a list of "must haves" and "want to haves", and | | | | or will you grow out of it. |
| "definitely don’t wants". There are a limited | | | | 6) Not Following Through on Due Diligence |
| number of homes currently for sale in the area you | | | | Make a list of non-house related issues - Schools, |
| have chosen. Often times you can't get everything | | | | crime rates, neighbors, traffic, power lines, new |
| you want in one home, so you must trade-off and | | | | development in the area, environmental issues, etc. |
| balance some of these "haves", "wants", and "don't | | | | Ask these questions before you make any offer on |
| wants". | | | | a home. By getting these answers now, you'll have |
| New properties come on the market every day, so | | | | more confidence in your home purchase. |
| try to be flexible and open to new possibilities. By | | | | 7) Not Buying a Home Protection Plan |
| eliminating the homes that don't work, you get down | | | | This is an inexpensive short term insurance policy on |
| to picking the best of the "possibles". Don't worry, | | | | the home, usually covering appliances and basic |
| you often end up finding a house that is just right for | | | | repairs for one year. It can be purchased for a small |
| you,and you'll know it the minute you walk in. | | | | fee and will give you peace of mind about that |
| 3) Not Knowing the Total Costs Involved | | | | dishwasher or water heater going bad just three |
| When you find homes you like, ask your lender for | | | | weeks after you move in - every home buyers |
| an estimate of closing costs. This should include Title | | | | nightmare. Talk to your Realtor, they can recommend |
| Company fees, Pre-paid expenses like taxes, | | | | a good plan. |
| insurance and pro-rated mortgage interest. Attorney | | | | If you can avoid the seven common mistakes above, |
| fees and Homeowners Association dues may also | | | | you'll be miles ahead, and can have peace of mind |
| need to be taken into account. Examine this Estimate | | | | that you are making a solid, well thought out decision |
| closely and make sure you understand where each | | | | about the purchase of your next home. What’s |
| cost is coming from and whether it will be an ongoing | | | | the old saying....."An ounce of prevention is worth a |
| cost after you own the home, or a one-time fee. | | | | pound of cure"? Never has it been so true as in the |
| Check the actual Closing cost statement at | | | | home buying process. |
| settlement to make sure there are no surprises. | | | | |