House Hunters: Avoid these Home Buying Mistakes

House hunters ready to take on the residential real estate market (first-timers and repeat buyers alike) need to be prepared. It’s not just the size of the purchase. But, the scope of the process that’s often full of surprises. No, that doesn’t mean you won’t find a suitable property. It just means there’s always something around the corner. And, it can be an anxious time. Whether you’re looking to buy new construction or a resale, you need to know what’s in store.

Top Reasons to buy a Home in 2018

This year might present the best time to buy a home because of several factors. One is mortgage interest rates, which hit near-historic lows in the past few years. Now, those rates are incrementally inching up. But, they remain very affordable and quite low at this time. New construction is still going which helps to make resales more affordable.

“Life is full of milestones, from birthdays and anniversaries, to graduations and career advancement. Many of life’s major events happen as the result of hard work, and most are cause for celebration. There are some, however, that are fraught with anxiety. Buying a home, especially a first home, is number one on that list.” —SmartAsset.com

These are perhaps the biggest two benefits. But there are others. The Sunshine State is experiencing a lot of growth on many fronts. And, with about one thousand people relocating into Florida everyday, you’ll need to move quickly. Also, you can enjoy some tax advantages and there’s always property appreciation to add to the mix.

Biggest Home Buying Mistakes to Avoid

The home buying process is an exciting time. But, it’s not without its challenges. You need to be aware of what to do and when to do it to make the right decisions along the way. Unfortunately, too many people go in enthusiastically with little to no preparation. That leads to unintentional errors. Here’s the biggest home buying mistakes you should avoid:

  • Only saving a bare minimum down payment. You’ve probably heard that 20 percent is the bare minimum. But, this isn’t true, there are mortgage programs which only require half that or as little as 3 1/2 to 5 percent. However, when you only put down the bare minimum, you lose out on a bigger advantage — a lower monthly payment obligation. It’s best to put down a larger down payment to reduce your loan amount and build equity on a shorter timeline.
  • Not having a backup plan ready-to-go. You might find the “perfect home” only to see it slowly slip away. While easier said than done, getting emotionally attached is big trouble. Regardless of what you think will happen doesn’t make it a reality. You should have a backup plan to put into action if something goes awry.
  • Thinking you can do it all on your own. Make no mistake about it, you’ll need a seasoned pro at your side. There are just too many variables, too much unfamiliar nomenclature, and too many unknowns. If you have an experienced professional working with you, you’ll have less to handle and access to a wealth of knowledge.
  • Having an unrealistic wishlist. The fact of the matter is, no house is perfect. Even if you do find a great place that seems to have everything, you’ll probably still find faults. That’s okay, you can make it into something better. But, you’ve got to be willing to see things for how they can be and not how they first appear.

If you are considering buying or selling a home in Orlando, contact us for the latest market information. We’ll also provide you with the right advice about the local real estate market so you make the best decisions.