As of June 2020, there are 18.2% fewer homes available on the market than in 2019.
With housing inventory running low, it’s more crucial than ever to avoid these house shopping mistakes. Today, we’re breaking down the top seven mistakes you need to avoid at all costs when buying a house.
1. Not Sticking to Your Budget
More factors go into the home buying process than many people realize. When you’re comparing home prices, you need to factor in HOA fees, property taxes, potential repairs, and closing costs.
It’s essential to take these factors into account when you’re calculating how much house you can afford to purchase.
2. Shopping Before You’re Pre-Approved
A key aspect when searching for a house for families is knowing how much of a mortgage you’re approved for. Without pre-approval from your lender, not only will you not be able to set a budget for your house shopping, you may get the nasty surprise of your loan being denied after putting an offer in on a home.
3. Foregoing a Home Inspection
No matter when the home was built or how good it looks, you cannot skip getting it inspected. Being pretty on the surface does not guarantee that there aren’t problems hiding under the floorboards and behind the walls.
4. Judging the Book By Its Cover
Some houses you’ll tour while attending open houses or with your real estate agent may look unappealing at first. There could be crazy paint colors, wallpaper, old fixtures, cabinets, or flooring you hate.
Many of these things are merely cosmetic, and you can change them with a bit of elbow grease and DIY effort. The crucial aspects of the home are its layout, structural integrity, and functionality.
5. Your Wish List VS Your Must-Haves
It’s wonderful to have a wish list as part of your house-hunting strategy, but don’t make it a mile long. Creating a particularly specific and lengthy wish list will quickly lead to disappointment as no house will live up to these standards.
Instead, focus on your absolute must-haves, such as how many bedrooms and bathrooms you need. If you find a functional home for you, you can add in some things from your wish list down the road.
6. Not Choosing the Right Location
When you hear about house hunting, one point that is always driven home as critical is the location you choose. When buying a house, it isn’t just the home you need to fall in love with.
Choosing the right neighborhood for your lifestyle will ensure that you enjoy your time living there. If you have kids, consider what the school district is like. If you enjoy restaurants and shopping, how far away are these amenities from the house you’re touring?
7. Falling in Love With the First House You See
House hunting, like many things, can often be romanticized. It’s doubtful that the very first home you see will be the perfect one for you.
As tempting as it is to make an impulsive decision based on your gut feelings, try to stay grounded and look at a few houses so that you can compare the pros and cons of each one.
Avoid These House Shopping Mistakes
These are our top picks for house shopping mistakes that you should avoid at all costs. If you’d like to learn more about real estate, check out our blog’s real estate market trends section.