5 Common Homebuying Mistakes to Avoid

When you buy a new home, there are so many details involved that it can be easy to make a mistake. While achieving such a big goal is exciting, it can also spell unhappiness or financial ruin if the right steps aren't taken. Take note of a few hints from those that have purchased before, so you end up happy with a home that is a good investment.

1. Failing to prepare finances

Before ever looking at a property, a prospective home buyer should have all finances in order. That includes a credit check, controlling debt, and getting pre-approved by a bank for a loan to buy a new home. These steps make you financially prepared to take on one of the biggest purchases you will ever make.

2. Missing the inspection

While inspections aren't much fun to attend, they do reveal a lot of highly important information. Seller's disclosures are supposed to be honest, but may not include hidden issues that perhaps the seller didn't even know about. In order to know that the home you like will be a good investment and not a money pit, meet with the inspector. They will be only too happy to walk you through the home and point out things not to worry about and areas for concern.

3. Ignoring the extra costs

The monthly mortgage rate is not the only expense to consider when you buy a new home. Up front, you need loan application fees, a down payment, an inspection, and closing costs. After that, you need to cover annual taxes, insurance, home repairs, and general upkeep. Take those things into consideration when looking, and keep from being house poor.

4. Buying without a Realtor

One of the best ways to navigate the choppy seas of home buying is to use a certified Realtor. They have taken an oath to uphold high standards of ethics. Not only will they help you find a great house, but they can help you through the confusing process when you are ready to buy a new home. Their professional experience can help through the entire process. Plus, you know there is someone at the negotiating table with your best interests.

5. Not knowing the market

Every day, things in the real estate business change. The financial market fluctuates and affects loan rates, the housing market changes making buying or selling preferable, and homes are sold or put on the market changing what is available. Before starting the homebuying process, understand how to read the market, so you don't miss out on a great opportunity.

If you would like to learn more about how to buy a new home in the Austin area, click here.

The Firt-Time Househunter's Guide to an Austin Home Search

Purchasing your first home is exciting, and a classic sign of American success. Begin your process right with helpful tips for your Austin home search. A house is likely the most expensive thing you will ever purchase, so much of the preparation is financial. Purchasing a home is a big undertaking, and keeping a home is a big financial responsibility. Both are completely worth it if you are willing to put in the time to do the process right.

The first step to your Austin home search is to get yourself ready to buy. If you have any debt, pay it down. Get rid of unused credit or store cards. Determine how much cash you have and might need for a down payment. Check your credit score and see where you stand. Create a budget and control your spending, to reach your goals. Call a bank and see how much and what percentage rate you qualify for. Knowing how much banks will loan you gives you the first parameter of your search, the price range.

The next step in the Austin home search is to think about how you will pay for the house once you are in it. Monthly mortgage payments, yearly property taxes, home owners insurance, and possible neighborhood association fees should be considered. Remember to factor in additional expenses, like lawn upkeep, and home repairs. Utility bills are also typically higher in a house. It is good to have an emergency fund, for those large unforeseen emergencies, such as foundation troubles, major plumbing issues, or a central heating unit that stops working.

You will also likely want to purchase new furniture and décor for the property. It is easy to get carried away and only have eyes for the top of your budget when looking at homes, but by creating a forecast of the expenses, you can make a good decision. When you are realistic, you can have a good home and a afford to have a good life there.

When all of the financial questions are answered, find a certified Realtor. You can trust them to help you find the right property for the right price. They have access to helpful information that is not on the Internet for the general population and often have insider's knowledge about neighborhoods and particular properties. With their industry expertise, your Austin home search will be easier and more efficient.

If you would like to learn more about an Austin home search, visit The Kinney Company.