Some of the Biggest Home Buying Mistakes to Avoid
Purchasing your home is a huge deal, but each and every circumstance is different. There are probably well over a hundred mistakes you can easily make while going through the Home Buying Process, but none are more foolproof than these: Lying and lack of understanding.
Don't Let the Lender Catch You With Your Pants on Fire!
It should go without saying that lying on your home loan applications or on documents for the bank is one of the easiest ways to be shut down. Not only can you face legal charges, but it can irrevocably hurt your chances of qualifying. Additionally, lying to yourself, and accepting a loan that you know you can’t pay back is equally as bad.
This is the Worst Thing About of Being Dishonest
Taking on too much of a financial burden will almost always end badly. The frustrating part of this mistake is that it can be easily avoided and the only one to blame is yourself. The best way to avoid this is to have a clear understanding of what you can afford to borrow. Know your budget, find out your credit score, when applying for a mortgage ask your lender to show you an estimated amortization schedule of your #loan.
Research the Home Buying Process and Your Situation
No one should be signing legally binding documents without first and foremost understanding what they’re agreeing to. Remember, banks are businesses (and not always ethical ones) so you have to advocate for yourself. If you don’t understand what certain terms mean or a fee schedule is found confusing, it is up to you to seek clarification, either by asking your
lender or by doing your own research.
Conclusion
Buying a home can be a very emotional process. Instead of getting caught up in everything that can go wrong, or being swept away by the whirlwind of finding your dream home, take a minute to adjust to the process. Mistakes in the home buying process can be costly, but -- as we have mentioned before -- these common mistakes can often be shuffled into to distinct categories; lying and lack of understanding. Ask yourself throughout the process: Am I being truthful (whether intentional or not) about my financial situation and my needs? Do I understand all the facets of what I am about to agree too?
