Buying a new home can be one of the most exciting endeavors in a person’s life. The thrill of owning the perfect home or the dream of building a life in a new place is an opportunity most families dream about for years. So when the time rolls around to enter into the home buying process, the excitement can be all-encompassing to a point where important details are overlooked or forgotten entirely. As such an important purchase, there isn’t much room for mistakes when buying a home. But unfortunately, they do happen. Here is a list of five mistakes that homebuyers commonly make.
- Attempting to rehabilitate credit before purchase: This may seem counterintuitive as any steps you take to improve your credit are generally good things. However, if you are dedicating your finances to paying off credit card debt, you run the risk of not having enough funds when it comes time to purchase a home.
- Thinking short-term: New and experienced home buyers alike can fall prey to short-sightedness. They may love the single-level three bedroom ranch now, but a few years down the road, they may need more room to grow. Another pitfall of thinking in the short-term is that it can influence the type of loan they accept.
- Haphazard inspections: Not following through on inspections or not taking enough time for a thorough investigation can lead turn a dream house into a nightmare.
- Beyond the sale price: A failure to understand that there are legal, tax, credit, and other ramifications and costs beyond the sale price can force homeowners into unwanted debt.
- Legally binding: Failing to understand how and when a contract becomes legally binding can lead homeowners down a legal and financial rabbit hole that is difficult to navigate and escape.
If you’re considering purchasing a home and need advice, contact Colorado Real Estate Company. We are ready to help you today!