A home is probably going to be the largest purchase most people will make in their lifetime. As such, there can be a lot of pressure to make the right decisions when obtaining a home. Unfortunately, sometimes people do make big mistakes. With that in mind, here are some of the most commonly made mistakes you should make sure to avoid when buying your first home.

Forgetting There Are More Expenses than Mortgage Payments

One mistake made by first time homebuyers occurs because they are unaware that owning a home requires far more expense than a monthly mortgage payment. Many people may decide to take on a mortgage when they finally have enough income to make the monthly payment. However, this ignores many of the other routine expenses that can be involved.

This includes things like property taxes, home insurance premiums, electricity bills, water bills and even dues paid to a homeowners’ association. Certainly make sure you know all the expense that will be required to own a specific home before you agree to buy.

Not Getting the Best Home Loan

Another common mistake occurs when new homeowners select the wrong mortgage. There are many home loans beyond the standard mortgage that are designed specifically for people who need financial help obtaining a home. You can find many of them on this website from a mortgage lender in Austin.

This includes options like loans from the Federal Housing Administration, the Veteran’s Administration and the US Department of Agriculture. Loans from these government agencies often come with great benefits for consumers like interest rates lower than regular mortgages. Make sure you qualify for such options before choosing a conventional mortgage.

Choosing a Home Before a Loan

The first step to buying a home should always be getting pre-approved for a mortgage. Part of the reason some people don’t is because they are nervous about the pre-approval process. They may assume that they’ll only be approved for a loan for a home much smaller than they actually want. They may also worry about being rejected outright. However, these fears are often misguided. Being pre-approved for a mortgage first will help you choose the right home from the beginning instead of having your hopes dashed later.

Overall, buying a home is a big deal. There is a lot of decision making required, and it will be a huge financial commitment. Make sure you are well informed on the whole process so you can put some your fears at rest.

Guest Post By:

Anita Ginsburg / Freelance Writer
anitaginsburg@gmail.com