1. Not
doing your homework. Knowledge is power. Tremendous information is
available on the Internet. There is no excuse for entering the market
unprepared.
2. Trying
to make a shrewd investment. People need to buy based on what fits
their family. Don't try to guess what will happen to the market.
3. Choosing
a poor location. Even within a neighborhood, location matters. Is it on
the busiest street? Is there a shopping center out the back window?
4. Overlooking
an inferior floor plan for an attractive exterior. It may have gorgeous
curb appeal, but you don't live on the lawn. No matter how attractive the
exterior, you need a livable home.
5. Overlooking
how the house will function for your family. How do you really live? Do
you really need a formal dining room and living room? Would you be happier
with an eat-in kitchen and a great room and a den to use as a home office? The
house only needs to fit one family -- yours.
6. Not
having the home properly inspected in a resale. This is not the time
for surprises. Get an inspection from a qualified, respected professional.
7. Not
checking out the builder's reputation on a new home. Talk to three or
four people who live in the builder's homes and see what they have to say. If
one builder did all the houses in a neighborhood, talk to the residents and
get their input. (It's also a great way to see what your neighbors would be
like.)
8. Not
getting what you want because you're impatient. This is a big decision.
You need time. Impatient decisions can lead to mistakes.
9. Waiting
for a better market and interest rates.
10. Not
buying at all. If you can afford a home and you don't make that
purchase, you'll lose the benefit of tax deductions, building home equity and
the appreciation in value.
