Spring, it’s not only a time when seasoned real estate veterans jump back into the fray, but’s it’s also a time when first-time homebuyers are known to dip their toes in the pond most often. While spring is traditionally a time for renewal, rebirth and hope, those brand-new to the real estate market can be prematurely lured by lush landscapes and blooming colors.
If you are a first-time homebuyer, or may know one, we encourage you to pay attention to these potential pitfalls:
- Make sure you are prequalified for a loan. You will be saving yourself plenty of heartache and frustration if you find a home you absolutely love only to find out you aren’t able to get a mortgage on the property. Before you begin your search, make sure you come armed with all of the necessary paperwork!
- Putting yourself on pause for a better interest rate. You may have heard all of the talk that it’s a buyer marker right now. It’s not talk, conditions are prime for purchasing right now. (See our first point).
- Fixating on the short-term. As a first-time homebuyer we understand you may not be thinking about resale value. However, while you may not be able to purchase that completely renovated property, information on neighborhood, school districts and business development will all play in to future resale values.
- Allowing emotion to factor into your decision. Don’t turn a blind eye to structural issues that will suck your bank account dry just because of surface finishes such as granite countertops, hardwood floors or stainless steel appliances. Remember, you’re just starting out in real estate. Don’t allow your first go-round to turn into a complete money pit.
- Turning your back on additional maintenance costs. Don’t be house poor! Your mortgage, as well as property taxes and utilities, are just scratching the surface of what it costs to properly maintain a home. Don’t turn a blind eye to these. You will regret it in the long run.
We are excited for those of you who are first-time homebuyers right now. We just want you to be fully prepared when you enter into the market. If you have any questions, we invite you to contact us and we will be happy to guide you through the process.