Common First-Time Buyer Mistakes

Buying your first home is a big deal. You’re probably making the biggest financial investment in your life, setting down roots and planning far ahead into the future for yourself, a partner and a possible future family. And whilst the end product is incredible, there’s no underestimating the complexity of buying a new home, especially if it’s your first time.

There’s a lot to get your head around in a relatively short amount of time. From all kinds of legal jargon to running over budget, conducting proper surveys and hidden costs, there are many hurdles along the way. Here are some of the most common mistakes for first-time buyers – and how you can avoid them.

Insufficient Research

The estate market is likely going to be a brand-new sphere for you and can often be overwhelming. Because of this, sellers know that many first-time buyers are easier to rip off, so it’s good to do your research into property prices, different neighbourhoods and the financial climate in order to make an informed decision and avoid being taken advantage of. 

Get a good idea about your desired area by going to open houses and liaising closely with a trusted local real estate agent in order to glean insights into the estate market. Some solid baseline knowledge is always good.

Ignoring Hidden Costs

When calculating their budget, many first-time buyers neglect to factor in hidden costs. Such costs include those that are usually only apparent right before they have to be paid and include closing fees, property taxes, stamp duty and maintenance expenses.

Buying a house requires much more than the price of the house. When deciding on a budget, think carefully about the kind of expenses you can afford to pay on a regular and long-term basis. Buying a house is a huge financial commitment and should be considered very carefully before purchase.

Skipping Home Inspections

In order to save money, many first-time buyers opt out of a comprehensive home inspection. This could potentially end with even more expenses once a hidden problem has been uncovered too late and requires much more time, money and resources to fix it.

A thorough home inspection, whilst expensive, will discover any issues early on, which will then allow room for negotiation on the price. By spotting any issues early on, you can also get them sorted before you move in and avoid it disrupting your rhythm later down the line.

Overspending

If you find your dream house and it’s over budget, it’s tempting to stretch the budget to accommodate the higher price. However, it’s really important to set a realistic budget and stick to it rigidly, forgoing any viewings that ask for more.

This is a collaborative post.