4 Home Buying Mistakes That Will Cost You
When planning on buying a new home and packing and moving all of your belongings, there are very easy mistakes to make that many people are guilty of falling for when buying a new home. Check out this list from your local Kansas City movers of the top mistakes that home buyers make, that end up costing them big bucks!
- Spending More Money Than You Have. While it is easy to get overly excited when shopping for homes, don’t get carried away with buying a home that is way out of your price range. Sure, that granite countertop might be awfully pretty to look at, but having to spend an extra $10,000 might make more of a difference to your budget than you realize. According to Ellen Derrick, a planning services certified financial planner, “people look at the top end of their affordable monthly payment, and they don’t really think about what happens if their income goes down or they have to change jobs.”
- Not Putting Down a Nominal Down Payment. Ideally, it is best to put down a 20% down payment, but if you end up having to borrow more due to low interest rates or because you do not have enough to put the recommended amount down, then maybe now is not the best time for you to buy a home. Even though you can technically buy a home with as little as 3% down, that is not the best option, because then you hardly own any equity in your home and if you end up having to sell your home, you might end up owing more than what it is actually worth. Save yourself the trouble and wait until you can actually afford the 20% down.
- Skipping the Inspection. Perhaps a mistake that could end up costing you way more money than you bargained for, forgoing an inspection could mean that you miss catching those leaks from the window or possible water damage. Also, many people think that an inspection and an appraisal are the same thing; however, they are very different. An inspector is able to find the things that you do not even know to look for. That, and if they do find things that will require getting repaired, then you might be able to talk the seller into dropping the price down or agreeing to have the problem fixed before you move in.
- Forgetting to Make Sure Everything is in Writing. In order to avoid any type of miscommunication on either end of the deal, make sure to get everything in writing. That way, when you go to move into your new home, there are no surprises. The last thing that you want to deal with is moving in, only to find the window treatments, hot tubs, ceiling fans, appliances or washer and dryer are not included in the deal. By making sure everything is in writing, you also make sure that you do not end up spending more money than you bargained for.