RJ Baxter asked:
Mistake #1: Not employing the services of a Realtor.
One of the most common mistakes I see is avoiding hiring a Realtor. Many first time home buyers think that a Realtor is costly and won’t help them much. Nothing could be further from the truth. The seller in your transaction pays the Realtor, so it won’t cost you a dime, and a Realtor can save you valuable time and money by finding properties you may not have been aware of and negotiating your contract.
Mistake #2: Not looking at enough homes.
Many first time home buyers will look at a couple of homes, get really excited, and then decide to make an offer, only to regret it. Even if you are extremely excited about a particular home, it’s a good idea to take a deep breath, and keep looking, at least at a few more. You may miss out on something even better by biting too soon on one of the first ones you see (my wife and I made this mistake on our first home).
Mistake #3: Taking the “lowest” mortgage offer.
It’s not difficult for shady mortgage brokers to show you a mortgage offer that seems a lot lower than everyone else’s. The new good faith estimate will help alleviate some of this problem, but the point still persists- keep in mind what you’re getting if you automatically choose your mortgage company based solely on the lower price. The adage “you get what you pay for” holds true with mortgage shopping as much as with any other product or service. Pay for a Kia, get Kia- you know what I mean.
Jean
Mistake #1: Not employing the services of a Realtor.
One of the most common mistakes I see is avoiding hiring a Realtor. Many first time home buyers think that a Realtor is costly and won’t help them much. Nothing could be further from the truth. The seller in your transaction pays the Realtor, so it won’t cost you a dime, and a Realtor can save you valuable time and money by finding properties you may not have been aware of and negotiating your contract.
Mistake #2: Not looking at enough homes.
Many first time home buyers will look at a couple of homes, get really excited, and then decide to make an offer, only to regret it. Even if you are extremely excited about a particular home, it’s a good idea to take a deep breath, and keep looking, at least at a few more. You may miss out on something even better by biting too soon on one of the first ones you see (my wife and I made this mistake on our first home).
Mistake #3: Taking the “lowest” mortgage offer.
It’s not difficult for shady mortgage brokers to show you a mortgage offer that seems a lot lower than everyone else’s. The new good faith estimate will help alleviate some of this problem, but the point still persists- keep in mind what you’re getting if you automatically choose your mortgage company based solely on the lower price. The adage “you get what you pay for” holds true with mortgage shopping as much as with any other product or service. Pay for a Kia, get Kia- you know what I mean.
Jean
