Dream House on the Horizon? Sidestep These Common Pitfalls
Are you hesitant about buying a new home because of the inevitable stress it will cause? It doesn't have to be stressful - follow these tips to find out how!
It's all so exciting - the online searches, scrolling through the photos, saving the ones you like into a folder before heading out on a day of viewings. With each property that you look at, you begin to make a plan, see the future, and settle down in the home of your dreams.
However, it can also be a very challenging process to navigate, fraught with mistakes that many buyers make, which hinder their home-buying experience and leave many people vowing that they'll never move again (until next time, of course).
Whether you are a first-time buyer or a seasoned pro who has moved many times, these tips will make sure you don't fall foul of the common mistakes buyers can make.
- Neglecting to Secure a Mortgage Agreement in Principle (AIP)
Why it's a mistake: One of the biggest blunders first-time buyers make is beginning their property search without obtaining a Mortgage Agreement in Principle. Without this, you're navigating the market without a clear sense of your borrowing power, which can lead to wasted time and disappointment, not to mention reducing your negotiation power when it comes to making that important offer.
How to avoid it: Before you start viewing properties, obtain an AIP from your lender. This will clarify your budget and indicate to estate agents that you are a serious buyer.
- Skipping the Property Survey
Why it's a mistake: Although you may be tempted to cut costs by skipping the survey, especially if the property appears well-kept, a survey can uncover hidden issues that could lead to substantial repair costs down the line, such as dampness or structural problems.
How to avoid it: Arrange for a homebuyer's survey or consider a more comprehensive full structural survey, particularly for older properties or those showing signs of wear.
- Underestimating the Total Cost of Purchasing a Home
Why it's a mistake: The purchase price is only one part of the equation. Beyond your deposit and mortgage repayments, you'll also need to factor in additional expenses like Stamp Duty, legal fees, surveying costs, and possibly moving or renovation charges.
How to avoid it: Draft a detailed budget that encompasses all additional costs associated with buying a home. Tools such as the UK Government's Stamp Duty calculator can aid you in estimating your obligations.
- Rushing in a Competitive Market
Why it's a mistake: In a buoyant market, it may be tempting to make a rapid offer out of fear of losing the property to another buyer. However, this can lead to overpaying.
How to avoid it: Research the local market thoroughly. Engage with estate agents, compare similar properties, and avoid hasty decisions. This knowledge will give you the confidence to make informed choices.
- Forgetting Legal Advice
Why it's a mistake: The conveyancing process can be intricate, and errors can be costly. Some buyers may opt for inexpensive or DIY solutions, risking a lack of awareness of key legal requirements.
How to avoid it: Hire an experienced solicitor or licensed conveyancer to manage your legal affairs, ensuring all paperwork is accurate and that you are fully informed of any issues.
- Setting a completion date too soon
-Why it's a mistake: the legal sale process takes months, and there can be any number of things brought up that the solicitors must deal with before you can move in. Setting the completion date too early in the process is a surefire way to disappointment when it inevitably isn't ready.
How to avoid it: Patience is key when it comes to setting a completion date. Ensure that each party involved in the chain is progressing with their transaction, keeping in touch with the agents and solicitors throughout. When everything is in place, the dates will be discussed and set. This calm and patient approach will eliminate disappointment and allow everyone to prepare for a date with confidence.
By steering clear of these common pitfalls, you can transform your home-buying journey into a more enjoyable and rewarding experience, ultimately finding a property that perfectly fits your needs and budget. The relief of avoiding these mistakes will leave you feeling reassured and confident in your decision.
To get started with your search, get in touch with our team of property experts.