Common Mistakes to Avoid while Buying a Property
Very few shopping experiences are as exciting, exhilarating and exasperating as looking for a home. It is easy to get carried away by surface frills but if you don’t choose with care, you could be in for disappointment when you watch your hard earned investment going down the drain in as unexpected construction damages crop up.
Be smart about buying a property. Arm yourself with these important strategies to avoid making costly mistakes.
There is a big difference between what you want and what you can afford. Your bank will put it in perspective. Look for your leap. Consult with them to work out a budget for your dream home before you jump to look for your dream home.
Monthly Expenses: Make sure you factor in your monthly expenses such as home rent, utility expenses, car expenses, education loans, monthly grocery bills, toiletries, food bills, credit card expenses, personal health insurance, and funds for retirement.
Annual Expenses: Don’t forget your annual expenses such as life club memberships, insurance premiums, vacation expenses, estimated commuting costs, any amount that you may be regularly sending to your parents or children and lifestyle costs such as on clothes, shoes and home-related items. Once you have the total, subtract it from your take-home pay. That’s the amount you have to spend on your dream home. Use a mortgage calculator to find out estimated interest rates.
Plan house hunting in a neighbourhood that’s within your budget. If you look for a home in a neighbourhood that’s outside your price range, you will be stretching beyond your means. Consider reducing your expenses to revise your budget if you wish to upgrade your neighbourhood, and build equity before you set out. The other way is to increase your income. Don’t forget to inquire about the neighbourhood’s developmental plans before you start the search. Your home value over the years will escalate or decline on the basis of new development. Make sure you check out other properties before you finalize “the one.”
List down the key elements you are looking for in your dream home. Don’t be too picky. Be prepared to compromise on certain aspects in your wish list to find something within your budget. A home in the suburbs for instance may be a better idea. They are cheaper than downtown condos and more spacious. If a well-connected location matters, be prepared for outdated decor or one bedroom less to meet your costs. A home inspection is imperative before you finalize your purchase so that you can avoid pitfalls later.
Make sure you are pre-approved for a mortgage loan. If you have poor credit or unstable income, that may be a tough task. Even if you are pre-approved for a mortgage, the loan can fall through if your credit score is affected. Consult a mortgage professional to make sure you are everything goes as planned.
As a homeowner, you have to be prepared for many hidden costs. Are you prepared for all of them? You have to pay for property taxes, home insurance, be prepared for unexpected repair or maintenance costs and HVAC upgrades. If you are in a condo, there are monthly management fees. If you are a first-time homebuyer, look for a budget home that you can add value to. Look for something priced low and do it up over time to ensure a surge in equity so you get more bang for your buck at the time of selling. Once you are serious, look for a qualified broker to help you through the process.
Quality Condos for Sale at The 222, Maple Ridge, BC
The bottom line is, don’t rush or dip into your savings. When you are ready to invest in your dream home within your budget, check out our beautiful new condominium development located at the foot of a tranquil residential neighbourhood in Maple Ridge, BC. You will enjoy stunning views, an ideal location located close to all amenities and transit service.
Homeowners at The 222 enjoy a host of comforts and conveniences, delivering a worry-free lifestyle devoid of many responsibilities of regular home ownership. Contact Nikky Tu for more information at 604-753-8797.