Buying your first home is an important milestone. If you’re entering the Sunny Isles real estate market for the first time, here are some common mistakes to avoid.
- Looking at homes before getting pre-approved
It’s easy to get caught up in the excitement of finding your dream home but taking the time to get pre-approved for a mortgage will help refine the search. During pre-approval, the lender will provide an estimate of how much home you can afford based on a thorough review and verification of your financial documentation. Although there is no guarantee that you will get approved for the same amount, it does show the seller that you’re serious about purchasing a home. It also gives you a better idea of your price range, so you can look at homes that reflect your buying power.
- Not getting a personal credit check
Scrutinize your credit reports for any unchecked errors that can either affect your chances of getting approved for a mortgage or cause the lender to give you less favorable terms and rates. This is especially true if you’re applying for either a jumbo or super jumbo loan for your first luxury property. These loans exceed conventional limits and have more stringent requirements.
If you see any errors in your credit report, have these mistakes corrected before applying for a mortgage. You can also improve your credit score to get better rates and have more financing options.
Although the lender will check your credit score during the initial approval of your loan, it’s common for them to reexamine it as the scheduled closing date nears. Your credit score might drop significantly if you apply for new loans or credit cards or if you miss several consecutive payments on your credit card before then. Any changes in the credit report between the initial approval and closing date could also translate to changes in your loan terms and rates.
- Fixating on the home, not the neighborhood
Moving to a new home also means moving to a new neighborhood. If you find a home you love in the area, make time to explore and talk to other homeowners. This will help you determine whether the neighborhood is a good fit for your lifestyle, values, and preferences. You can always renovate a home to better suit your needs, but you can’t do the same for the community surrounding it.
When exploring the neighborhood, find out what shops, restaurants, parks, and entertainment options are nearby. Check the distance from your potential new home to the local shops, schools, hospital, and your workplace to assess travel time. You can also look into school ratings, noise levels, foot traffic, and more.
- Skipping the home inspection
Think twice before waiving the home inspection to save time or beat other offers – a thorough inspection is crucial to identifying structural issues, water damage, and the condition of any appliances included on the sale. A home inspection will help you determine whether or not the home is liveable and that it is truly worth the price before finalizing the sale.
Although waiving the inspection can help you land your dream home in a competitive market, it can also be a costly mistake if you uncover significant damage after you close. If the inspection report indicates any damage or issues, you can potentially negotiate repairs before closing.
- Not working with an agent
If this is your first time buying a home, you can avoid costly mistakes and delays in the process by working with an experienced real estate agent. A local expert will help you make a strong offer and protect your interests during the buying process. They will also help you make sure that the paperwork is complete and accurate.
Find homes for sale in Sunny Isles, FL with Nexxos Realty
Nexxos Realtyhelps clients in search of homes in Sunny Isles and the surrounding communities. Contact us at 786.210.3562 or email us here.. Our team is led by licensed real estate broker Anamaria Velasquez. With more than 10 years of experience, she has worked with celebrities and other top-tier clients in the area.