Top 3 Things First-Time Home buyers Overlook

It’s easy to get caught up in all the excitement when buying your first home and overlook some important things. Make sure you don’t forget these commonly overlooked items when buying your first home.

1.       How much closing costs can be

Closing costs are fees related to services that must be performed to complete a home loan. Many first-time home buyers are surprised by the additional costs and fees required to purchase a home. On top of the down payment, the buyer must also pay a variety of closing costs to finalize the purchase of a home. Because these cost can be quite substantial, it’s important to factor them into your home buying budget to ensure you have enough money saved up when it’s time to sign on the dotted line.

 2.       How costly repairs are

Potential home buyers often underestimate the costs of home maintenance and repairs. When you own a home, it’s your responsibility to pay for any repairs that are needed to maintain your home and to replace anything that breaks. If your fridge or air conditioning unit breaks down, you may find yourself having to shell out a substantial amount of money unexpectedly. So it’s important that you have some money set aside in case unexpected problem like this arises.

 3.       Property taxes and homeowner’s insurance

Just because you can afford the monthly mortgage payments doesn’t mean you can afford everything else that comes along with owning a home. In addition to monthly mortgage payments and interest, you’ll also have to pay property taxes and homeowner’s insurance.  So, if a home is at the top of your budget, you may want to keep looking. Don’t forget about all the additional monthly expenses that come along with home ownership, or you may find yourself struggling to keep up every month.