Three Common Mistakes People Make When Buying A Home
People dream of owning their home and work hard to achieve this dream, only to realize that despite all their efforts, their process is getting delayed, and their dream of living in a home of their own is kept on hold.
This is due to several mistakes on the buyer’s part, mostly unintentional. Hiring a professional to guide you through the process can help you save time and money.
To help you avoid some basic errors that could prove to be costly, Mortgage Broker, Financial Planner Calgary, AB, has put together three of the most common mistakes people make when buying a home.
1. Viewing a property without any pre-approval or being pre-qualified
This indicates no real intention to buy with no real financial plan. Unfortunately, this proves very dangerous as decisions are made without a full understanding of financial implications and the impact on daily personal finances. A proper pre-qualification exercise can reduce the risk of buying on impulse and taking on unnecessary debt.
2. Not timing the market appropriately
Trying to time the market. Waiting for the right time to make a move. The markets are always changing. People who are thinking of buying often times they keep postponing the decision until they are convinced the market will benefit them. Unfortunately, they rely on data that is not always accurate and usually outdated. By the time a decision is made, the market has already shifted. That's why timing the market proves to be very challenging. Other considerations one must make when waiting for the right time is the cost of postponing the decision (most likely continue paying someone else's mortgage). The longer we wait to start paying for our own mortgage, the longer it will take to get to the finish line. We also risk of missing out due to the fact the lending requirements keep on changing for the worse making it more difficult to qualify for a mortgage loan. The best approach is to understand that buying a home is a long-term investment that appreciates over time.
3. Entertaining every opinion of friends
Acquaintances are interested in telling others what to do and how to do it. It is best to allow your logic to dominate popular opinion. Remember, what worked for them, may not work for you. You cannot expect the same experience that your friends may have bought a property many years ago.
To avoid these and other mistakes, reach out to the experts at Mortgage Broker, Financial Planner Calgary, AB. We have been in business for over fifteen years helping families make the dream of homeownership a reality and other important financial goals. We deal in mortgages, financial planning, insurance, savings, and investments. We serve clients across Calgary, Cochrane, Irricana, De Winton, Okotoks, Strathmore, Airdrie, Balzac, Chestermere, Carseland, and the surrounding areas.
Get in touch with us today!
For a complete list of our services, please click here. If you have any questions about the mortgage, we’d love to hear from you. For more information, please call us at (403) 836-4460 or email us at jramirez@mortgagealliance.com.