As the best real estate agent in East Bay California, we consider this our duty to educate people about mistakes they make when they are buying a home for the first time. We notice, each year, novice homebuyers make their way into the market and commit home-buying blunders comparable to the ones their parents, relatives, and friends did when it was their turn to buy their first houses
While buying your first home can be exciting, it’s easy to get swept up in the whirlwind of home shopping and end up with buyer’s remorse later. This is the only reason you need a top real estate agent in East Bay California at the time of home purchase
Mistakes to Avoid:
Avoid these first-time homebuyer mistakes and follow these tips instead:
SEARCHING FOR A HOME BEFORE FIGURING OUT HOW MUCH YOU CAN AFFORD TO SPEND:
Most first-time homebuyers jump into a home search without figuring out how much they can afford to spend on their house which will lead to wasted time. They end up looking at homes they can’t afford or scheduling visits to homes that are way below their optimal budget level.
Take note that the ultimate goal is to buy a house and get a loan with a monthly payment you can comfortably pay. Make sure to use a mortgage affordability calculator to help you determine what your price range is? what is too aggressive? and what’s a stretch? Izabella Lipetski in California is the best real estate agent in East Bay as she offers you a detailed understanding of how to calculate your spending budget for your first home.
SETTLING WITH ONE LENDER:
Some first-time homebuyers are too eager to go with the first (and only) lender they talk to, and it’s a mistake that leads to thousands of dollars on the table. Well, as a top-rated real estate agent in East Bay, California services we can tell you few things. First of all, shopping around gives you a better basis for comparison, and it ensures that you are indeed getting a good deal and the lowest rates. Talk with at least three different lenders and mortgage real estate agents in East Bay, so you can compare rates, fees, and loan terms. Take customer service and lender responsiveness into consideration, as well, as both play key roles in making the mortgage approval process run smoothly.
OVERLOOKING CREDIT REPORTS AND ERRORS:
As a first-time homebuyer, you tend to forget that mortgage lenders in California scrutinize your credit reports before deciding to approve your loan and the suitable interest rate. A credit report full of errors may lead to an interest rate higher than what you’re supposed to get, so make sure that your credit report is as accurate as it can be. A good real estate agent in East Bay California will always check your credit score and make an appropriate recommendation.
NOT DOING ENOUGH RESEARCH ABOUT FHA, VA, AND USDA LOANS:
It’s normal for first-time homebuyers to be strapped for cash, especially in this era of rising home prices in East Bay, California. Most of them have little saved for a down payment, and some have unimpressive credit, which makes it hard to qualify for a conventional loan. Our advice from the best real estate agent in East Bay California is here to guide you in such a situation.
First of all, get better financing options and avoid delays in your home search by looking into the three government-insured loan programs backed by the Federal Housing Administration (FHA loans), U.S. Department of Veterans Affairs (VA loans), and U.S Department of Agriculture (USDA loans). Doing ample research will make the whole buying process smoother and more affordable for you!
GOING THROUGH YOUR SAVINGS FAST:
Draining savings is not uncommon with first-time homebuyers. Most novice homebuyers spend it all on down payment and closing costs, so they don’t have to pay for mortgage insurance, and it leads them to pick the wrong property, leaving them with zero money in their pockets. This is the very reason we consider providing you a guide to buying homes in East Bay, California.
Before going through the whole home buying process in East Bay California, aim to have three to six months’ worth of living expenses in your emergency fund. While it’s true that paying the mortgage, insurance isn’t an ideal option, going through your whole emergency or retirement savings just to make that down payment is a risk you shouldn’t take. This is our experience as the best real estate agent in East Bay, California that you should save installments for at least for few months in advance.
BEING TOO CARELESS WITH CREDIT
Lenders in East Bay, California are known to check credit reports at pre-approval and just before closing to ensure that nothing has changed on your financial profile. Taking new loans or credit card accounts jeopardize final loan approvals, and it’s something that first-time homebuyers learn the hard way. As a top-rated real estate agent in East Bay, California let us tell you that you need to avoid opening new credit cards, taking out new loans, and making large purchases in the months leading up to applying for a mortgage through the closing day to keep the status quo in your finances. Make sure to pay your existing balances to below 30 percent of your credit limit and pay bills on time and in full monthly. You can use the mortgage calculator to evaluate the mortgage you need to pay.
NOT CONSIDERING THE NEIGHBORHOOD:
A good real estate agent in East Bay California will always tell you about the neighborhood of your new home. Being nitpicky about your first home is nothing but normal. However, it can lead to you being short-sighted by winding up in a neighborhood that doesn’t suit you.
Researching the right town is critical in your life and family development. Find a place that will match you and your kids, especially when it’s about culture and values. California is rich in traditions. Buying a home in East Bay California is one of the best choices you can make. Always remember that you can trade up or down for a new home, and a renovation is an option!
MISCALCULATING THE COSTS OF HOMEOWNERSHIP
The hidden costs of owning a home are not a “secret” (no pun intended!), but give first-time homebuyers a shock, especially if you add your new monthly principal and interest payment on top. Remember that as a new homeowner, there are numerous expenses to save up for, like property taxes, mortgage insurance, homeowners insurance, hazard insurance, repairs, maintenance, and utilities.
Let your real estate agent in East Bay California assist you in crunching numbers on taxes, mortgage insurance, and utility bills. Aim to set aside at least three percent of the home’s purchase price annually to fund repairs and maintenance.
EMOTION-BASED DECISION MAKING
While it’s true that buying a house in East Bay California is a major life milestone. First-time homebuyers tend to get too attached to the idea and make emotional decisions. It’s vital to take note that emotion-based decision-making may lead to overpaying for a home and stretching your funds beyond what you can pay.
Don’t become emotionally attached to a home that’s not yet yours. Always stick to your budget. A good real estate agent in East Bay California will always remind you what your actual budget is.
Waiting for the “Perfect” Home
The “perfect” home is like a unicorn– a mythical creature both in nature and the real estate market in East Bay, California. Searching for a home that ticks your whole checklist will narrow down your options too much, and it may lead to you overlooking good and suitable options. Looking for perfection may force you to overpay for a home and lengthen your search, too!
Always keep an open mind about your market options and be willing to put in some sweat equity. Consider loan programs that will let you roll the cost of repairs into your mortgage so you can renovate your chosen home at any time.
Just avoid all the first-time homebuyer mistakes. We are here for you to suggest the best real estate agent in east bay California. There is only one name which is none other than Izabella Lipetski. A good agent like Izabella Lipetski keeps herself up-to-date with all changes that are happening within the rules and regulations concerning properties. She is persistent, passionate, and conscious of the dynamics of the important Estate in California.
A successful realtor like her keeps a record of every property in town. She has the most advanced technological developments, like online resources, websites, forums, and apps, which may help you a lot. We are sure you can benefit greatly from her experience and skills to close a deal for your first home dream. Being the best real estate agent in East Bay California, we offer you a home valuation service as well.