Common mistakes homebuyers make
The real estate market in the Northern Rivers and Tweed region can be difficult to navigate, particularly if you are a first home buyer. It is essential to know what to look for when buying a house. Here are some of the most common mistakes made by home buyers to help you avoid the pitfalls and make the right decision.
What are the most common mistakes when buying a property?
1. Making an emotional purchase
We all want to fall in love with a home. But, it is important to remember that buying a house or apartment is a business transaction. It is a decision you need to make with your head, instead of just your heart.
One of the biggest problems when buying a home is being led too much by your emotions. Some buyers end up buying an unsuitable property or paying more than a house or apartment is worth due to a fear of missing out.
You can avoid this by using a buyers agent. They will make a calm, rational decision on your behalf, finding you a suitable property based on your specifications. This takes the emotion out of the equation, ensuring you end up with the right property at the right price.
2. Not doing enough research
Some buyers set their hearts on living in a particular neighbourhood without taking the time to find out how practical it will be for them to live there. For example, a family with children could buy a property in their chosen area without researching how good the local schools are or whether there are any playground or nearby medical facilities. In the worst case, they could even discover – too late – that they have moved into an area with a high crime rate.
It is essential to stop and ask yourself, “Is this the right home to buy?” Research the area you want to move into, as well as individual properties, before you make a decision. Even better, enlist the services of a real estate professional who understands the neighbourhood and can tell you everything you need to know.
3. Waiting for the market to settle
The real estate market is in a constant state of flux. But it isn’t always inevitable that the market will “correct” in favour of buyers. In major cities, particularly, desirable properties will always be in high demand. You could end up waiting a long time for house or apartment prices to fall, and you could miss out on your dream home in the meantime.
If you find the perfect property and you know you can afford it, it isn’t often worth waiting to see if you can get it cheaper in the future.
4. Not setting a realistic budget
This is one of the most important tips for first home buyers. Many buyers will base their property decisions on the amount of money they can borrow. However, they forget to take into account the many other expenses associated with buying a home.
These include:
- Stamp duties
- Insurance
- Inspections
- Moving costs
And various other expenses, depending on the property you buy. It is essential to take these costs into account to make sure you don’t end up going over your budget and taking on a property you can’t afford.
More about how to protect yourself when buying a home
If you’re wondering “Why is buying a property so hard?” it could be time to enlist the services of a buyers agent. We can help you avoid the pitfalls of the property market and help you find the home that’s right for you, thanks to our experience and contacts in the real estate industry. Please contact us for more information – we are always happy to help.
