Are You Making These 6 First-Time Homebuyer Mistakes?

Congratulations on deciding to buy your first home! Now that you know what you want to do with the next few years of your life, it is important that you consider all the mistakes many first-time buyers make when they start looking at houses for sale. Looking at these common mistakes will help you avoid them.

Mistake #1: Not considering all the expenses associating with buying a new home.

Budgeting for a home does not end with considering homeowner's insurance and taxes. You must also factor in costs like an increase in utility spending and possible upgrades for your new home.

Mistake #2: Not checking the homeowner's association rules.

Some homeowner's associations have rules regarding whether or not you can rent out your house, and some regulate how many cars you can have parked in front of your house. It is a necessity that you read the contract for the association before you make a final decision on the house.

Mistake #3: Not having a long-term financial plan.

It is important that you become pre-qualified before you even start looking at homes so that you can create a realistic plan for your home-buying process. This also helps you figure out the ideal cost of a house for your budget. You could be paying off a house for the next 15 to 30 years, so you want to create a plan that is destined to last.

Mistake #4: Having your mind set on a specific house.

Before you even start to look at homes, it is a good idea to sit down and start writing down a few things you absolutely must have and a few things you would like to have in your new house. The must-haves should be absolute dealbreakers, while the rest of the amenities are just factors that could tip the scale into one house's favor.

Mistake #5: Not hiring an independent home inspector.

Having your new home inspected by a private inspector, not your real estate agent, works in your favor. As a buyer, you need to be aware of potential safety and health issues in the home. Additionally, you should make a point of saying that the offer you place on a home is only valid if the house passes a thorough inspection by an independent party.

Mistake #6: Failing to visit the neighborhood many times.

A neighborhood looks different at different times of the day, and this is one of the few things about a house you can't really change. Visit the home at different times of the day to make sure that you really do enjoy the location.

Buying a home is a serious concern, but this does not mean that you will not make the best choice. Consider these common mistakes so that you can purchase the home of your dreams.