Many people, especially first-time home buyers, have little experience purchasing a home. It is not as easy as writing a check and handing it over. Instead, it can be a complicated process with many opportunities to make a mistake. Therefore, today we are going to look at the most common home buying mistakes people make.

Buying a House You Cannot Afford

This is a huge mistake because it affects the amount of money you have to live on throughout the month if you have a mortgage. Dave Ramsey recommends, “Your monthly mortgage payment should be 25% or less of your take-home pay—including property taxes, homeowners insurance, private mortgage insurance (PMI) and HOA fees.” Therefore, don’t just look at the cost of the home—look at all the related costs, too.

Skipping Mortgage Pre-Approval

Before starting the process of shopping for a home, it is wise to get pre-approval for a mortgage from a bank or lender. Why is this important? When you submit an offer, you can assume that yours is not the only one. Therefore, you want your offer to stand above the rest so the seller will accept it. One way to accomplish this is to have a pre-approval letter. It shows them that you qualify for a mortgage and that your offer is serious.

Buying a Home Without an Inspection

Not everything is obvious with a simple walk-through of a potential home. You will want to pay for a professional inspector to check out the house. That way you know what you are getting and that its value aligns with what you are willing to pay. Electrical issues, roofing problems, foundation troubles, and more can be identified via an inspection. Unfortunately, many home buyers made this critical mistake during the pandemic. Learn from their mistakes.

Shopping without an Experienced Real Estate

This one mistake might sound self-serving for Mike Goins Real Estate; however, hiring an experienced agent makes a big difference. He/she can educate you and walk you through each step of the process. You can feel confident that your offer is solid and paperwork is filed properly. In addition, the buyer does not pay for the agent’s work as the buyer’s agent gets paid by the seller. Why not hire an experienced agent to purchase a home whether it is your first or fifth?

I hope these four home buying mistakes are helpful as you navigate the real estate market. Dave Ramsey has a total of 17 errors home buyers make. Check out his article to learn more. Of course, if you are looking for a real estate agent, please consider Mike Goins. He has over 18 years of experience in Montgomery County. He has been recognized as a Ramsey Trusted Pro as well as the 2022 top agent for Lake Homes Realty. You are in good hands with Mike!