Purchasing your first home is an exciting milestone for any buyer. And while it’s easy to get caught up in the whirlwind of open houses, model home tours, and more, the best way to make a smooth and simple transition into homeownership is to avoid some common mistakes along the way.
Plan accordingly by keeping an eye out for these four common homebuying mistakes:
Mistake #1: Not Shopping Around for a Mortgage Lender
One of the most important things to do during the homebuying process is to get pre-approved for a mortgage. Nerdwallet recommends buyers get preapproved just before they begin shopping, as it shows builders and sellers that you’re a serious buyer. Not only does it help narrow down your search but provides confidence to shoppers when they decide they’re ready to make an offer.
The big mistake happens when people finalize their mortgage details with the first lender who pre-approves them. By jumping the gun and taking the first offer available, you may wind up with a higher rate that could cost you thousands of dollars in the long run. Instead, shop around with multiple lenders to see who can offer you the best rates and lowest closing costs.
In some cases, homebuilders have in-house or affiliate lenders (like First Choice Lending Group with Legend Homes). Thanks to proximity and familiarity, these knowledgeable lenders can offer customer service tailored to your needs when you need them.
Mistake #2: Not Considering the Neighborhood Around the Home
There’s so much more to a home than the front and backyard. It’s common for inventory builders to construct new homes in master-planned communities. These neighborhoods are designed to enhance the lives of the people who live there. They provide access to things like schools, grocery stores, restaurants, travel routes, and more.
First-time homebuyers may find a home they love that doesn’t fit the life they want to live (or that makes life a bit more difficult). Maybe it’s too far from work or too close to busy intersections. Or perhaps they’re looking for a community with some included amenities, like parks, pools, or walking trails. Plenty of buyers want to find a home that’s near places to shop, dine, gather, and more.
Our advice? When you find a home that you think might be the one, learn as much as you possibly can about the community in which it resides and the surrounding area. Even visiting at different times of day can help you see what life is like there. You might find that something is missing — or you might find a few hidden gems that encourage you to proceed with the purchase.
Mistake #3: Rushing the Buying Process
Purchasing a home is very likely the biggest decision you’ve made. There’s no need to rush into it (unless you’re ready to buy!).
As with any other major purchase, it's important to not only be certain that you’re ready to purchase a home but that you’re ready to handle the upkeep of owning a home. That you’re capable of hitting all the appropriate purchasing deadlines — from providing earnest money to securing your down payment and more — and that it’s the home you want.
We recommend reviewing key homebuying terminology and our handy homebuying FAQ before you start the process. Talk to your REALTOR if you’re working with one and chat with a sales professional to learn exactly what’s expected of you and when it’s due. These resources will help you stay on top of deadlines and terminology so that you can successfully purchase a home.
Mistake #4: Not Having Fun!
Buying a home is a joyful experience. Yes, it can be a stressful process. But the result is a place you can call home, a physical manifestation of years of hard work, patience, and discipline. You should be proud of yourself.
Here are a few ways to make the experience more fun:
- Take Photos and Videos: Commemorate the occasion with pictures and videos. Whether you’re touring a model home, signing the contract, or some other step in between, you’ll want to look back on these memories for years to come.
- Enjoy Your Potential New Neighborhood: If you think you’ve found the right home, spend some time in the area! Check out the restaurants, visit the nature areas, and do a little shopping — pretty much any activity helps give you a sense of your new potential home.
- Imagine How You’ll Decorate Your Future Home: One of the most exciting parts of the shopping experience is that you have a blank slate, meaning you can fill your home with whatever furniture and decorations you desire. Explore catalogs, tour furniture stores, and more to give yourself a sense of what life will be like when you find the home you’re looking for. You can also follow us on social media — we're on Facebook, Instagram, TikTok, Pinterest, and more — to get tips, ideas, and other inspiration!
