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10 biggest home buyer's mistakes

If you’re a first time home buyer, chances are you’re looking for a house that will cater to your specific needs, is located in a certain area and will fit your pocket.

It’s not always possible to step into the property market for the first time and immediately buy your dream home. That’s why many first-time home buyers start small and gradually build their way up towards their perfect home.

SA Home Loans knows all the insecurities, questions and financial worries that come with buying property for the first time. That’s why our friendly staff is well qualified to lead you every step of the way – making buying your home buying as effortless as possible.

While we do all the paperwork and sort out your mortgage bond, you can take the time to go out and find your perfect house. To help you with this, find out:

The 10 biggest mistakes first-time home buyers make

Mistake 1: Not doing your homework.

Knowledge is power. The Internet provides an unlimited amount of information right at your fingertips. Do your research and enter the market prepared. This extends to choosing your mortgage. Many home buyers allow the estate agent and/or a bond originator (who get a handsome commission from the bank) to choose a home loan provider for them. Why? Shop around and go direct to the provider you feel most at home with.

Mistake 2: Choosing a bad location.

Even if you choose a good neighbourhood, a poor location could be a problem. For instance, think twice if it’s right next to a busy street. It’s not for nothing “Location, location, location” is the mantra of everyone giving advice about home buying. While you may think you’re getting a lot more house in a less sought-after location, its value is unlikely to increase quickly as those in better areas.

Mistake 3: Overlooking a poor floor plan for a good looking exterior.

It may look impressive from the street, but if the inside of the house is impractical you won’t enjoy living in it. And the likelihood is you’ll soon be spending a lot of money to alter it.

Mistake 4: Not keeping your family’s needs in mind.

What lifestyle is your family accustomed to? If you never use a formal dining room and separate sitting room, then maybe you would be happier in a house with a cosy eat-in kitchen and open plan living room area. Decide what would best suit your family’s needs.

Mistake 5: Trying to make a clever investment.

Once again, make sure you choose a house that fits your needs. Don't try to pre-empt what will happen in the property market.

Mistake 6: Not having a thorough inspection done.

You want to make sure there are no nasty surprises climbing out of the woodwork. Get an inspection from a qualified, respected professional before you sign.

Mistake 7: Not checking the builder's reputation on a new home.

Talk to at least three people who live in homes constructed by your chosen builder and see if they have any complaints or issues.

Mistake 8: Settling for second best because you're impatient.

Buying a house is a big decision. Take your time and make sure you don’t regret a hasty decision in the future.

Mistake 9: Waiting for a better market and interest rates.

There will always be a reason NOT to do it. But the pros of buying your own property far outweigh the cons, so stop procrastinating and get your foot in the property market.

Mistake 10: Not buying at all.

If you can afford a property and you don't make that purchase, you won’t be able to start building home equity and reap the benefits when that property’s value increases.

For more helpful information for home buyers, please look at the articles and guides in our Useful Information section on this site.

Let SA Home Loans, acknowledged as the country’s specialist property finance provider, take the hard work out of being a first-time home buyer. We are committed to giving you as many choices as possible so that your mortgage can be build around your current and future needs – at consistently competitive interest rates. Moreover we offer you unique flexibility: you can change your home loan at any time to suit your changing needs.

The Interest Only Bond is a flexible mortgage option that allows you to pay smaller amounts on your monthly bond payments should you need it. Once you’re back on your feet, you have the option to make lump sum repayments at any time to reduce the outstanding home loan amount.

Contact SA Home Loans on 0860 2 4 6 8 10 to find out more about our unique options – and experience first-hand our amazing service.

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