Buying a property is a fun and exciting process, especially for first home buyers. However, it’s important to do your research and be aware of potential mistakes that could end up costing you big bucks down the line. The key to avoiding common mistakes is to buy sensibly; to learn from others who have been there before as well as enlist help from the experts.
To help you on your journey to buying a first home, we’ve compiled a list of the most common mistakes many first home buyers make.
Not getting a house professionally inspected
Buying property is likely to be one of the biggest investments you’ll ever make in your life – so it’s a given you’ll need to make sure you’re not buying a lemon!
A visual inspection of the property just won’t cut it – you’ll need a qualified building inspector to access the home. They will be able to perform a number of checks that may not be visible to the naked eye. The ceilings, walls, insulation, roof, wiring, plumbing, exterior cladding and drainage are only some of the elements they’ll be inspecting.
A building report should be done either before you make an offer or as a condition of your offer.
Breaking the bank
While it may seem obvious, overspending on a property purchase can have dire consequences – there’s no going back if you decide you’ve spent too much! It can be easy to break your budget if you fall in love with a house, especially if the house is being auctioned off and you’re feeling under pressure.
Don’t forget that there are plenty of houses out there on the market, and the right house – within your budget – will pop up at the right time.
Not considering additional property expenses
While you may have a set budget for purchasing your home, don’t forget to factor in the many ongoing expenses that are associated with buying a new house. Unlike the days where you may have been renting, there are a number of costs that come with owning a home – taxes, rates, insurances and home maintenance/repairs are only a few of these.
Make sure you account for these costs when working out your budget for buying property. Don’t forget about your KiwiSaver funds though, as this certainly help towards the purchasing costs.
Not asking for help
Feeling a bit stuck on your property journey? There’s nothing wrong with reaching out and asking for help! There’s plenty of help available out there for first time home buyers – articles, blog posts, Facebook groups are only a few great resources.
If you’re recently made the decision to buy property, but you don’t even know where to start, we are more than happy to help…