Useful Tips

7 mistakes not to make when buying your home

Head over heart is a major dilemma when it comes to house hunting.

Buying a home can be a very emotional process but it is also important to keep those emotions in check to make the most rational decision possible.

At EquityVision we have a wealth of personal and professional experience within our team when it comes to house hunting.
As busy parent’s we understand most people are time poor and when it comes to major decisions, having free, expert advice on hand is the way forward.
We have devised a list of the most common emotional traps we fall into when buying a home:

1: You know you can’t afford it, but you’ll just go and have a look.

You know when you walk into an open for inspection house and you get ‘that feeling’. The home has got everything you want, the built in coffee machine for you, the wine cellar for him, playroom for the kids plus a fully decked out home theatre room – complete with popcorn making machine…but before you even got there, you knew it was out of your price range and you could never afford it. Now you’re just disappointed. To avoid feeling like this only look at homes in your price range.

2: Thinking that this house is the only one for you

There are 6390 dwellings in Brighton East alone (2011 Census) let alone the 6903 in Hampton or 6089 in Bentleigh, so it’s highly unlikely that the house you’ve just seen is the only one you’ll ever find that will make you and your family happy. So if you are thinking of overlooking some major flaws in ‘the’ house, remember all of the other potential out there and walk away.

3: Being so anxious about never finding ‘the one’ that you buy a home that doesn’t suit you

When you’ve been looking for a while and nothing is coming up that you really want, or you are bidding at auctions, but walking away as an under-bidder all the time, it’s easy to start thinking that you’ll never find the right home. If you compromise and move into the wrong house in a moment of desperation, you’ll end up hating where you live. Buying and selling again will be very expensive, let alone the hassles of moving.

4: Ignoring defects in the structure, appearance or location of the house.

See mistakes 2 and 3 – don’t ignore major flaws, problems that will be impossible to change or significantly expensive issues to fix in the house you are considering buying. Don’t forget that new properties are coming on the market every day.

5: Thinking you’re a handyman when you’re not

We’re all busy, so don’t underestimate the time, money, expertise and energy you will need if you take on a fixer-upper. How many times have you heard your friends complaining about budgets being blown out on renovations, repair jobs and tradesmen who never turn up when they say they will? And if it’s a major renovation, you may not be able to live there for an extended period of time.

6: Putting in an offer before carefully considering all the pros and cons of the property

Have you ever heard some someone saying that the Agent told them they were the only person wanting to buy a certain property, so there’s no real rush to put in their offer? Usually the exact opposite is true. If you haven’t had the proper building and legal inspections done and haven’t really had time to sus out the neighbourhood, don’t be rushed into making a big mistake. See mistake number 4.

7: Offering more than a house is worth

If the property market is hot, houses are selling quickly and for high prices, and you’re serious about this house, it’s all too easy to get sucked into a bidding war – either at auction or private sale.
To help you establish the worth of a property, I’m offering you a complimentary Property Value report. This report provides a detailed electronic assessment of the property as well as comparable property sales and suburb details. All you have to do is mail me the internet property listing.

Conclusion

Even knowing all of this, you may still find yourself making decisions based on emotion during the home-buying process. Slow down, overcome your emotions and ultimately, make a home-purchase decision that’s good for both your feelings and your finances.

If you need to know more about any aspect of the buying process please call us for a no-obligation chat, or email advice@equityvision.com.au.