Money Matters: Mistakes first-time homebuyers make

September 29, 2017 01:30

Buying a home can be exciting. Looking at different homes for sale, imagining how you would decorate the rooms and thinking about future improvements are all enjoyable aspects of the process. But there are many factors to consider, particularly when buying a home for the first time. Planning your budget, choosing a real estate agent and shopping for mortgages all require careful thought. And it's important to think about other costs and complications that could affect your purchase.

As Bankrate.com details, first-time buyers can sometimes forget about costs beyond the monthly mortgage payment. Renters are accustomed to utility bills, but as a homeowner, property taxes, insurance, homeowners association fees and maintenance are added to the list. It's important to have financing lined up before shopping for a home, because a transaction can happen quickly. If you are planning to buy, you should avoid taking out another loan, such as a car loan at the same time, because it could delay or derail getting final approval of your mortgage. Experts also warn about using all of your savings for a down payment. It's important to still have funds available for emergencies.
 
To help your listeners/viewers/readers learn more about buying a home, talk with mortgage lenders in your area, as well as financial planners who can outline strategies for saving and selecting a loan that makes the most sense for different kinds of buyers.

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