4 Common Mistakes that Buyers Make in Purchasing Real Estate Properties

 Apr 05, 2017
4 Common Mistakes that Buyers Make in Purchasing Real Estate Properties

Are you all set to buy a home for the first-time? This is no doubt one of the biggest investments you make in your lifetime and it is indeed an exciting and daunting task. Before you can get the keys to your new home some important steps need to be taken. Starting from choosing the perfect location to financing your home purchase, shopping around for your first home has big challenges to face. Some important steps to home purchase include:

  • Getting approval for home loan
  • Selecting the right estate agent
  • Finding house within your estimated budget

According to experts, who provide real estate services in London, most buyers unknowingly commit mistakes that prevent them from fulfilling their dream. Arm yourself with the helpful tips given below to get the most out of your purchase and securing better value for your money in the process. Here are some common but costly mistakes that you should avoid at all cost.

  • Overlooking your credit report before applying for a mortgage loan:
    Get a copy of your credit report even before applying for a mortgage loan. If you have an impressive credit score, better mortgage loan deals at lower rates of interest will come your way. There are many ways to improve your credit rating and the procedure is time-consuming. So, even before applying for a copy of your credit report, take the necessary steps to boost your credit score.
  • Taking mortgage advices from real estate agents:
    You should never seek mortgage advices from your estate agents. It is more unlikely for them to compare every mortgage lender in the market and come up with an unbiased opinion. Moreover, they may charge you additionally for this service.
  • Buying properties with short lease:
    Buying real estate properties with short leases, that is for 80 years or less, is a strict no-no. According to experts providing real estate services in London Bridge area, it is often difficult to get mortgage for such properties. Moreover, it is also difficult to get buyers for such buildings at the time of selling.
  • Avoiding the process of home inspection:
    If you think it is alright to skip the process of home inspection before buying a residential property, you are actually mistaken. You may save some money in the process, but in the long run, it may prove to risky. With your untrained eyes, you can never discover the serious problems that may exist with the properties plumbing, electrical wiring or roofing. An inspection will help to identify all these issues before closing a deal. Once you skip the inspection procedure, then all such responsibilities will come on your shoulders.

In addition to the tips mentioned above, you should make several visits to a property before closing a deal. A seller may push you for closing a deal as early as possible. Visit a property at different times of the day and week to get the best picture of its environment. Meanwhile, drive through that neighborhood and find out for yourself, if the locality suits you. It will help you making a concrete decision more easily.