Buying your very own property for the first time can be pretty exciting. However, the property acquisition journey is full of pitfalls, and as a novice; it can be pretty easy to fall into one of these traps.
In this article, I will share with you some common novice buyer mistakes and how to identify and avoid them.
- The first pitfall to avoid is being overly anxious or excited. This blinds you to many otherwise glaring dangers and limits your bargaining power. Being over excited will end up in you making emotional decisions rather than logical ones and this can be a disaster in real estate purchase.
- Having a defined budget beforehand cannot be overestimated. This streamlines the scope of your search and saves both you and your agent precious time and resources. Without having a defined agent, you’d waste time visiting houses that you definitely cannot afford or ones way below your standard and price marker.
- Underestimating additional costs is a rather common mistake as well. So many people calculate their budget solely on the amount they expect to spend on actual purchase of the house. However, the fact is that purchase is just the first phase of expenses. You will need to spend more on making the house conducive for you and your family’s needs. For instance, if the house features an open balcony and you have little children, you might want to put a burglary proof up. Also, if you are buying a previously owned home, then expect that there will be some repair costs as well.
- Always factor in home maintenance cost: Beyond the initial cost of getting your home prepped up for you to move in, you always need to carry out routine maintenance to keep your home in tip-top shape. Buying a huge home with expensive appliances just because you got it on a bargain might translate to huge costs in maintenance of the home eventually. Buy a place suitable for your family size and ensure maintenance is friendly on your pocket as well.
Overall, speak with your agent well beforehand and let them know what your expectations are as this will guide them on what to look out for you and in turn help them give you informed advice that will guide your purchase decision.