Given the fact that a house is probably the biggest investment most people will ever make in their life, it is
easy to see why buying property is a task that should be approached with great care. Unless you do your
homework beforehand, it is very easy to make mistakes when purchasing real estate in Western Australia,
or anywhere else in the world for that matter. These mistakes could end up costing you a great deal of
money so before you start negotiations with a Perth home builder or make an offer on a house that you see
in your neighborhood, read through the list below. Whether you are looking at newly built homes, older fixer-uppers or lofts in Raleigh NC, be sure to avoid these top 4 mistakes that home buyers make all the time.
Forewarned Is Forearmed
Once you are aware of the following mistakes that others make, you will hopefully be able to avoid making
them yourself.
1. Borrowing Too Much Money – This is a mistake that first-time buyers are particularly prone to
making and it is easy to see why. If you find what you think is the house of your dreams but it costs
more than you can really afford, you may be tempted to take on a larger mortgage in the belief
that your salaries will increase over the years and after the first couple of years, you will not have
to struggle to make the repayments. However, unexpected interest rate rises and redundancies can
wreak havoc on the best-laid of plans, let alone poorly thought out borrowing strategies like this.
2. Agreeing to a Fixed Plan – If you decide to hire a local contractor to build you a brand new home,
make sure they will allow you to make changes to the plans of their standard houses before you
sign a contract. Variation charges can add a huge amount to the cost of a newly-built property so
you don’t want to deal with a builder who won’t let you make a few changes here and there
without charging you a fortune for the privilege.
3. Hiring a Builder with No Track Record – While you might get lucky, there is a very good chance you
will live to regret making this particular mistake. Find a property you like on the websites of
reputable firms, such as www.redinkhomes.com.au, and avoid companies with no track record in
the industry.
4. Skipping Vital Inspections – Pest inspections, strata reports, and council inspections all cost money
but if you skip them in order to save a few dollars, you could end up losing a small fortune on your
real estate purchase in the future. You need to have all these inspections completed to make sure
your new property represents a solid investment.
By making sure that you avoid the above 4 mistakes, you will stand a much better chance of making a good
investment when you buy your next house. The main thing to bear in mind is that there is rarely a reason to
rush a house purchase so if you are not completely sure, you should wait.
