If you are unsure of what to expect when you make your first home purchase — don’t feel alone. Take comfort knowing that even the most experienced homeowners have been in your shoes once before.
Buying your first home is a big deal. The loan officers at Atlantic Coast Mortgage will be there for you, from application to closing, every step of the way. You have a lender for life.
To help you through this exciting time, we put together a list of common mistakes many first-time homebuyers make that you should avoid.
Many of us from childhood have dreams of what our home is going to look like down to the wall colors and exterior design. Here’s the thing — your starter home may not be your forever home. Don’t put yourself in a bind to afford the perfect home right now if it will strain you financially.
Buying a home that costs more than you can genuinely afford leaves you house poor. You’ll have the house that you want, but you may not be able to furnish it, manage repairs, or keep up with the mortgage payment altogether. Feeling the pinch won’t put you in a comfortable position financially, so think carefully when considering homes that are at the very top of your budget.
We have an online mortgage prequalification system that can take homebuyers through the buying process fairly quickly. Take time to review all facets of the purchase before starting this process.
Consider your goals, location, neighbors, school districts, traffic, community development, and more before moving forward. Don’t rush through or feel pressured to make a decision unless you’re certain it is the right one. Being thoughtful and reviewing options carefully will help you avoid a purchase you end up regretting.
Owning a home versus renting a home has its perks. You build equity instead of spending your money on rent. You may even find that a mortgage payment is less than a monthly rent payment when you crunch the numbers. One thing you do want to be careful of is underestimating the total cost of being a homeowner.
When you’re renting, the landlord or property management company pays for maintenance, landscaping, and other upkeep. The cost of this falls on your shoulders when you become a homeowner. Prepare to save enough cash for your down payment and have cash reserves on hand to cover other miscellaneous costs.
Lastly, the team of people you have behind you is important. Hire a team who you have complete faith in. You should be able to reach out to your agent or lender with questions and trust that you’ll get thorough answers. No question is too small when you’re making such a large purchase.
You should also feel confident that you’re a top priority in the eyes of the service providers who are helping you buy the home. Remember, agents, lenders, and other providers who take part in the transaction are working for you!
Are you interested in prequalifying for a home?
Get started with us today!