Buying your first home is an exciting time! But as easy it can be to get caught up in the thrill of house hunting, it’s just as easy to find yourself willing but unprepared to buy. Real Estate is complicated business, and as we’ve seen, COVID-19 has turned the Ottawa Housing Market into a seller’s paradise. If you’re ready to buy, be sure to avoid these mistakes many first-time home buyers make to put yourself in the best position possible.
Not Understanding Your Financial Situation
Before you start searching for your dream house, it’s important to speak with a mortgage broker to get a solid understanding of what you can afford. A mortgage broker will do a thorough review of your financial situation and tell you the maximum amount you will be approved for.
Of course, just because a lender has pre-approved you for a certain amount doesn’t mean you should spend that much. Be honest with yourself about how much you can comfortably afford each month, and stick to that amount when searching. There’s nothing worse than falling in love with a house you can’t afford (other than ending up house-poor from over-spending).
Not Planning for the Future
It’s common for buyers to go into a house-hunting situation looking for specific criteria that suit their current lifestyle, but buying and selling homes is expensive! Think about your five-year plan (at least). Do you need space for a future nursery? Are you planning on adopting a dog that will require a yard? Will your in-laws be visiting?
Buying a home that you can grow into will save you a lot of stress and money in the future. Don’t go overboard and look too far down the road, but your 5-year plan is a good framework to work within.
Skipping the Home Inspection
Especially here in Ottawa where homes have been selling quickly and over-asking, it can be tempting to forgo the home inspection to give you an edge in a competitive market. But skipping the inspection, even on a new-build, can leave you facing serious consequences down the road.
Always have a professional home inspection done before purchasing a home. It’s always better safe than sorry.
Not Working With A Realtor
It might sound easy in theory – find a house you like, put in an offer, get approved, move in. But buying a home involves a lot of steps that only a real estate professional can walk you through thoroughly. From referring you to a trusted mortgage broker or home inspector, to explaining the signing conditions, to know the best places to look in your dream city, and ensuring you’re aware of any hidden ‘quirks’ the buyers may not be telling you about, a Realtor is there to ensure the home buying process is as easy as possible.
If you’re thinking about buying a home, whether it’s your first or fourth, send me a message! Remember, it costs the buyer nothing to work with an agent, and I’m here to support you through every step of the way to your dream home.