There is no real big purchase you can make in life that’s bigger than a house. Choosing to buy a space for yourself and your family to grow is exciting but it can feel complicated if you’ve never done it before. You’re essentially putting everything you’ve ever saved into bricks, mortar, and – if you’re lucky – a decent sized piece of land.
This is your footprint, your stamp to start your property ladder journey. You can’t mess this up by making simple mistakes and some of those mistakes involve skipping property inspections or pest checks. You need to think about what it will mean for your house purchase if you skip these important things! You aren’t just paying for a house, you’re paying for a legacy. So, with this in mind, here are some of the mistakes you could be making when you are buying your first house.
- You picked the wrong loan. Did you know that most home buyers find the process of choosing a loan as difficult as the full process of buying? You have to consider the differences between fixed and variable rates, what it means to gain a loan that’s interest-only and what a redraw facility is. There are so many things to learn and it’s more than enough to give you a headache. The best thing that you can do is speak to a broker who knows their stuff and get them to guide you through the entire process.
- You let your emotions lead you. If you haven’t noticed, buying a house is a very trying process and that can lead you to choose your house with your heart and without thinking of the logic behind it. Buying a home is a big decision and when you fall in love with a particular property it’s likely you’ll be quick to jump in and make an offer. There are certain things that will impact your decision, from distances to public transport to how big the house is if you’re planning on children. Always try to buy with logic and not your heart so that you can make the right decision.
- You didn’t check your budget. Borrowing beyond your budget is a bad idea when you are buying a house. Just because a lender tells you that you can afford a high mortgage doesn’t mean that you should take one out. The best thing that you can do there is to buy something within your price range.
- You didn’t do your research. If you don’t research the market or the area in which you’re planning to buy, you’re going to struggle! You need to get to know the neighborhood and the amenities that you’re hoping for. You need to get to know the financial market, too, so that you can make the best possible decisions.
Buying a house is going to be complex enough as it is. The best thing that you can do is be aware of the issues that can occur and go from there!