One of the biggest investments you can make is purchasing a home, so you want to do it right. However, first-time buyers often make a number of mistakes. Buying a home should be a thoughtful process, and you should consider a variety of factors, from price to location to resale value for that sign up. It’s important to consider all of these factors, so that you can make the best decision for you and your family.
Avoiding the wrong neighborhood
The biggest expense that most people have in Virginia is housing. To make sure that you don’t move into the wrong neighborhood, work with a real estate agent who is familiar with the area. Not only will they help you navigate the housing market in Virginia, but they can help you narrow down the options so that you can find the best home in the best neighborhood.
Buying a home in the wrong price range
Many homebuyers make mistakes that can lead them to the wrong home. These mistakes include not paying attention to important details, such as electrical code. A home that is not code-compliant can be dangerous and costly to fix. Other factors to consider include the condition of the roof and hot water tank. It is also important to avoid buying a home that is overpriced.
Another common mistake is waiting for prices to go down. Though prices can ebb and flow occasionally, it’s impossible to predict when the right time is to buy a home. The best time to buy is when prices are low, not when they are sky high.
Overpaying for a home
Whether you are buying a home as an investment or inherited, it’s important to know the local market value of your new property. Fairfax County’s Board of Equalization publishes property values online and is open to the public. You should know what the market value of your new home is, but don’t let your emotions cloud your judgment.
Fairfax’s market is somewhat competitive, with an average price of $635K per home. In September, there were 79 homes on the market. The median list price was $665K, with prices ranging from $309 per square foot to $575K for a five-bedroom home.
Not getting pre-qualified for a mortgage
Getting pre-qualified for a mortgage is the first step in buying a home. Luckily, the process is simple. First, gather up all your financial information. Then, find a lender that offers an online application. This is free and shows that you are serious about purchasing a home.
Then, you need to know what type of mortgage you need. For example, a conventional loan will only allow you to borrow up to a certain amount. If you need a higher loan amount, you can apply for a jumbo loan. This type of loan is designed for borrowers with less than perfect credit. If you’re interested in buy a home in Fairfax VA, Mr. Cooper will explain your options and help you choose the best financing option.
Not getting a home inspection
A home inspection is a great way to protect yourself against problems that may come up after you buy the home. A professional can catch problems like wet basements or leaky faucets, and have them fixed before you move in. Many contracts also include a “home inspection contingency clause” that protects you in the event you find something that isn’t quite right.
Home inspectors can spend as much as three hours in a home, and they may even crawl in attics and climb roofs. Their job is to find any problems with the home, whether they are cosmetic or structural. They check out appliances, plumbing and electrical components, as well as windows, ventilation, and the foundation.
Paying too much for closing costs
When you’re to buy a home, you need to understand how much you’ll pay in closing costs. Although you’ll be spending money on the real estate transaction, there are certain things you can do to minimize your overall expense. Understanding these costs can help you budget accordingly, and it can also help you avoid unpleasant surprises. Fairfax is home to several popular neighborhoods that offer a wide range of prices. Using a Virginia closing costs calculator can help you estimate what you’ll be paying at closing.
When to buy a home, you’ll be paying for closing costs and attorney fees. These fees can add up to a significant portion of your overall cost, so you’ll want to budget for them before you begin the process. You’ll also need to have your home’s title insurance policy in case you face any title issues. Common title problems include ownership disputes and clerical errors. If you have a title insurance policy, you can get compensation for any legal fees incurred during the process.
