Buying a house is a huge accomplishment. Not only will you feel a sense of independence, but owning such an expensive asset is a major milestone in your life. Before you decide on financially committing to a home, make sure you do not make these mistakes which can haunt you for a lifetime.
Mortgage Monthly Payments Are Different From Rent
Paying rent is a different from paying for a mortgage. There are many other costs associated with owning a home such as: home inspection, escrow, maintenance, taxes, etc. Don’t come in thinking that there will be a flat monthly payment based solely on your mortgage’s interest rate. Plan ahead and make sure you can cover the entire costs associated with a home purchase before you decide on finalizing the deal.
Do Not Max Out Your Loan
Upon mortgage approval, many potential homebuyers believe that they can use the full extent of their loan to purchase a house nearly matching the loans entirety. Try not to max out your loan. A modest and less expensive house is less stressful than living with the constant threat of financial struggle.
Consult with an Agent
Every homebuyer does their research. Many people trust the internet to the extent that whatever home value figures that they see, is what they go with. Consult with a real estate agent. Their job is to do market analysis and research for you. A trusted agent will know the neighborhood in which you are interested and give you full details on what homes are worth taking a look at.