Mistakes happen but there are some that you can prevent. When it comes to buying your first home in Brampton, you’ll have to put in tons of research, get advice from friends and families who are homeowners in Canada, and find an experienced realtor. Knowledge is power and gathering as much information as possible would keep you away from these first-time home buyer mistakes.
Here are 6 common mistakes first-time home buyers make and tips to avoid them:
1. Start house shopping without getting pre-approved
Definitely the biggest mistake a first-time home buyer could make. Getting pre-approved for a mortgage makes everything crystal clear. You find out what you can afford and give sellers confidence in picking you as the new homeowner. Before you start house shopping, seek out a mortgage agent who can get you quotes from multiple lenders and pick one that gives you the lowest interest rate.
2. Use all your savings as down payment
It takes a very long time to save money, especially in an inflated economy like the current one. As a first-time home buyer in Canada, you only need 5% down payment instead of the traditional 20% down payment. To be very specific, you’ll need 5% for a property costing $500,000 and 10% for any amount that’s over $500,000. Keep 3 to 6 months of expenses aside because it’ll be at least a couple months between closing and moving.
3. Take kids for house viewings
It isn’t their fault but kids can get cranky, which means you’ll rush through the viewing and not check the cabinets and pipes properly. Ask your real estate agent in Brampton to show the house separately to your partner and you, so the other person can stay at home with kids. You can also hire a babysitter or ask for family to watch them for a while.
4. Trust the floor plan way too much
When a builder releases a floor plan, it’s usually before they begin construction. It doesn’t account for any last minute changes due to wiring or piping errors. It happens way too frequently that the floor plan reads 850 square feet but when you measure, it’s only 700 square feet. Nowadays many condo developers include balcony footage in the floor plan, which they shouldn’t. Carry a tape measure with you for every viewing in Brampton.
5. Focusing solely on the house and not the neighbourhood
Don’t fall in love with a house without falling in love with the neighbourhood first. Your goal should be to find a neighbourhood that’s not only safe for your family but also values and respects your culture. Also remember to check commute time to work, school ratings, and crime ratings.
6. Underestimating the cost of homeownership
Mortgage payments aren’t the only monthly expenses you need to consider. There’s hydro, water, heat, and maintenance bills to take care of too. You’ll likely require new furniture, home appliances, and a paint job too.
As a realtor who loves working with first-time home buyers in GTA, I’m here to answer any questions you might have. Reach out to me at cnacar.realtor@gmail.com or (905) 867-4828 today.