There will be nothing as exciting but as humbling as buying your first home. A home is a major financial responsibility, from paying it off, to taking care of all the exterior and interior maintenance. There are some mistakes that you want to know to avoid when you purchase your first home. Here are five mistakes to avoid to make sure you have a good home buying and moving process.
1. Overextending your budget because you love a house
One of the worst mistakes that you can make is buying a house that is well out of your budget. While buying a home a little bit more expensive, such as $10,000 more than your max, may not cause a major problem over the course of your loan. Buying a home that is significantly more than the budget that you have worked out can lead to issues. You need to make sure you can take care of all of your bills and expenses, plus save for retirement, emergency funds, and be able to afford small things for fun. Living in a big house but being poor and unable to save, purchase the food that you like, or have any fun can cause you to become resentful quickly.
2. Not looking up neighborhood utility bills
When you find a house that you are sure you want to put a bid on, make sure you look at the neighborhood utility bills. You can often look up the averages online or you can ask the realtor and others in the neighborhood. You can also look at the utilities that you use in your current space and compare the rates that will occur in the new neighborhood. Do not buy a new home without taking into consideration the utilities that you will have to pay. If the utilities are much higher than expected, you may find yourself stretching your budget and wind up in an uncomfortable financial situation.
3. Not taking into account the inspection
Once you have fallen in love with the house that you want to be your first home, you may want to brush off any bad things you hear about it. A big mistake made by first time buyers is ignoring the inspection or putting it off as something that can be dealt with later. If you ignore your inspection, you may find yourself putting on a new roof in a few years or having to take out a loan for major foundation work that you didn’t plan for.
4. Trying to move on your own
Moving into a house on your own will be exhausting. It is always a good idea to hire a trusted local mover to help you get your furniture in the new home so that you can save your time and energy decorating the way that you want. Be sure to hire a reputable moving company that has not had any allegations of theft or who are known to not be dependable.
5. Not taking life changes into account
If you plan to get married and have a baby while living in your new home, take into account how your new life will work in your new space. Make sure you have the rooms and bathrooms necessary for your new lifestyle. Factor your lifestyle and changes into your new house.