Manchester Real Estate Agent on How to Avoid First-Time Home Buyers Mistakes

USA Today September 2014 issue outlined 5 First-Time Home Buyers Mistakes

 Contrary to what the author wrote, first-time home buyers are not naïve.  As a matter of fact, hey are very resourceful and educated. Hence, they seek the expert’s advice and assistance to guide them throughout the home buying process.

“Meet with a lender and get pre-approved for an amount you can afford. Also, keep in mind that it’s always better to lean towards a lower amount, rather than a higher amount. You do not have to use the entire amount you’re pre-approved for. Once you know how much you have to work with, then and only then should you start your house hunt.”

This part of the article--which is numbered 1-- is the only advice the author should give because the rest becomes convoluted if this advice alone is being followed.

According to the author, first-time home buyers should determine how much mortgage they can afford based on the amount they are are earning today. Where else it should be based from? The loan officer would not base it on their future earnings. That is why W2s and Tax Returns are required when documenting their income.

Moreover, he said first-time home buyers fail to account for the closing costs, property taxes, HOA and homeowner’s insurance; they fail to protect themselves with home inspections, contingency clauses, etc.; they are too naive or paranoid---that they are overly optimistic because they think nothing could possible go wrong.

Really?

These scenarios are not the norm. Rather, they fall under the exceptions. I find it unfathomable that the first-time home buyers could have made these missteps if they worked with a realtor and loan officer.

I worked mostly with first-time home buyers and none of them made these 5 mistakes because they were smart enough to hire a realtor and seek the advice of a loan officer.

In our current real estate landscape, the first serious contact with either the realtor or loan officer by the first-time home buyer is the best way to avoid these foolish mistakes first-time home buyers make.