Buying your first home is exciting and fulfilling. But it is also exhausting. You have to deal with stuff you didn’t even know existed before, and you are under constant pressure. First-time home buyers usually find themselves hating the process and dreading this experience instead of loving it. But there are certified specialists that can help you finding the house of your dreams, like the real estate agents. And there are also experts that will make sure you afford it, like the the Kelowna mortgage advisors at Rampone-Marsh. Having a team of experts working on finding the best house for you is reassuring and can ease your burden a lot. But there are still choices you have to make and, unfortunately, first-time home buyers in Canada (or anywhere else for that matter) tend to overlook important aspects, leading to big mistakes that can cost you money, time and energy. So here are the most common mistakes home buyers make.
Failing to inspect the house
If you look at the house, it doesn’t count as an inspection. You need to hire certified professionals that can check the major components of the house and offer you an estimate of the remaining lifetime for those. Besides saving you from significant repairing costs in the future, a home inspection will also let you know if there are mold, asbestos or parasite problems so that you have all the information before making the purchase.
Not thinking about the closing costs
Besides the cost of the purchase, there will be additional expenses. The lawyer fees, your agent’s commission, moving costs and transfer taxes are just some of the closing costs that can emerge. The best way of dealing with them is to be prepared. Usually, the closing costs will vary between 1.5% and 4%. Put some money aside for those costs, somewhere around 4% of the price of the house. If it turns out that the closing costs for your dream house are smaller, you will have some remaining money to spend on furniture or even a vacation, so it’s a win-win situation.
Not taking the future into consideration
A house is a big investment, and you shouldn’t commit to it until you know all the facts. Sure, a particular house may look fantastic right now, but it won’t look so good two years from now when a skyscraper in front of it will block your view. Find out the development plans for the area, discover the zoning laws and get informed about the evolution of the market value in that neighborhood. Make sure you have all the facts before you purchase the house.
Not considering the mortgage qualification or the down payment
You may think you afford certain costs, but it could happen that the bank doesn’t share your opinion. Placing an offer on a house before you get a pre-approved loan is the worst mistake you can make. Also, not shopping around for different mortgage offers and not researching your down payment options are serious mistakes. The point is not to rush into a purchase, or you may end up regretting it later. Employ the services of Kelowna mortgage brokers and let them find the best options for you.
If you want to avoid the typical first-time home buyers mistakes, pay attention to all the facts mentioned above. To find out more about your mortgage options and first-time home buyers plans in Canada, contact us. We will make sure that you get the best deal for your Kelowna home.
1290 St. Paul St. #316