Buying a home is part of the American dream, and if this is on your dream to-do list, then it’s time to look at homes for sale in Fort Wayne, IN. This is an exciting process, but it can be a bit overwhelming to look at all these different houses and decide on the right one for you. Paying for something as big as a new house is another story altogether. Even so, buying a new home is one of the best things you will do in your life, and you should expect a great experience in your very own house. You do want to be careful to avoid some of the most common mistake first-time homebuyers make. The smarter you are with your purchase, the more you can embrace your new residence and everything that comes with owning a home. Here are a few things to keep in mind when looking at a home for sale so that you can avoid mistakes made by many other first-time buyers.
The average cost of a home depends on where you’re looking and the condition of the home. Generally speaking, brand-new custom-built homes may cost more than existing, previously owned homes, but that’s not always the case, and you need to do your research. It’s quick and easy to jump online and take a look at the real estate market in your area. You want to be careful that you don’t overspend and buy a house you can’t afford in the long run. Otherwise, you may end up regretting your purchase if you break your budget and are left with a hefty mortgage that puts constant stress on your wallet. It’s important that you find a house that you love but can also afford.
Underestimating the Hidden Costs
Something else to think of is all the hidden costs associated with buying a home and homeownership. Often, first-time homebuyers only focus on the selling price of the home, and that’s what they imagine they’ll need to budget for. In reality, there are many more costs associated with buying and owning a home. There’s commission, mortgage insurance, real estate fees, homeowners’ association dues, and insurance costs. Then you have to pay to properly maintain your home and take care of any cleaning or repairs. While this is well worth it, you just need to be aware of how much you will need to save and budget for your new home. The smarter you are about money, the less stressful it will be as a first-time homebuyer.
Doubting Your Down Payment
Another common mistake made by first-time homebuyers is assuming that you need a 20% down payment. While having one-fifth of the purchase price is a traditional goal that helps you put a bigger dent in your mortgage, just because you don’t have a 20% down payment doesn’t mean you can’t buy a house. It depends on the mortgage lender, but there are many options out there to accommodate smaller down payments, such as 15%, 10%, or 5% of the purchase price. Typically, these smaller down payments require private mortgage lender’s insurance, so you just have to weigh up which option is best for you. It’s good to think about what you want your down payment to be, as you may be closer to your dream home than you realize.
When you’re ready to buy your first home and are looking at single- or multifamily homes for sale in Fort Wayne, IN, it’s in your best interest to contact the number one custom home builder in your area. Lancia Homes is known for quality homes with a personal touch, and our building experts will help you make the most of your experience. Contact us today.