Five Common Mistakes First-Time Buyers Make

Buying your first home is a big decision, and because of this, it is also very stressful. You have to deal with viewings, a mortgage, and lawyers, which can be intimidating to someone without experience. So, it's not surprising that first-time buyers are often prone to making mistakes.

Some of these mistakes are minor, like buying a house with stained skirting boards (which can easily be painted over). Others can be more concerning, such as ignoring additional house-buying costs. Avoiding some of these mistakes will make you more prepared and save you money in the long run. 

So, Property Expert Joshua Houston is here to put your mind at ease. He's revealed the five common mistakes first-time buyers make when purchasing their home.

1: Not getting a pre-approved mortgage

A pre-approved mortgage is an agreement in principle that you can borrow a certain amount of money, allowing you to know your budget for your first home. If you don't have a pre-approved mortgage, you will have no idea what property will be in your budget. This leads to disappointment because you get your hopes up about a 'dream home' you have viewed. Not only this, but it wastes time that is better spent looking at houses within your money range.

2: Ignoring additional costs

When looking to buy their first home, many forget about the additional costs that come with it. These include insurance, taxes and utilities, which add up to thousands of pounds over the course of the year. Maintenance is also an important factor. For example, your boiler could break down at any minute, so it's crucial that you have some money saved up to account for the cost of a new boiler. If you're not prepared, this will force you to take out loans, which will be paid back with interest. 

3: Overestimating your budget

It is common for first-time buyers to overestimate their budgets to find the perfect home. They do this by stretching their finances thin, which eventually leads to a lot of stress over the monthly payments. Alternatively, always budget a monthly payment that leaves you with enough money for necessities, treats, and savings. This will allow you to buy your first home, but not to the point where you can't afford essentials like food and clothes.

4:Skipping the home inspection

Before you officially buy a property, you can hire a professional to conduct a home inspection. They will highlight any areas that require repairs or maintenance, giving you a good understanding of the property's condition. Not doing this puts you at risk of being left with expensive repair costs once the purchase has been completed. After the professional has inspected, you can send their findings to the property owner for either them to sort or get a better deal on the asking price. 

5. Not saving for a large enough down payment

Saving a smaller deposit will lead to a more expensive monthly mortgage payment. It's important not to rush the house-buying process and only to do it when ready. So consider waiting until you have a sizable down payment saved up; this will relieve pressure when it comes to paying your mortgage, leaving you with more disposable income. Aim for your deposit to be at least 15% of the property's purchase price. 

Joshua Houston, Property Expert at WhatCost:

"Over 340,000 people became first-time buyers in the UK last year, so this topic is more important than ever. 

The last thing you want to do is make a mistake when buying your first home. It could leave you seriously out of pocket or without the property you want. So, use these warnings to help your buying process run smoothly."