Whether you want to buy overseas property for a business or for personal use, make sure you avoid these common mistakes that first time home buyers commit.
Going over your budget
This is one of the biggest mistakes a first time buyer can commit. Never go over your budget. If anything, you should make sure you spend less than your budget so there will still be an allocated amount for house repair or redecoration if needed. Keep in mind that there are also many other costs such as homeowner dues, property taxes, and home insurance.
Not hiring or consulting a real estate agent
Real estate agents are there to help you through the tiring effort of searching for the perfect overseas property investment. Moreover, if it’s the first time you’re buying property overseas; local real estate agents can inform you of real estate trends in the area that the internet might not know of. They can also help you get the best price of the property and help you through the buying process.
Don’t just assume your mortgage will get approved
Don’t assume, get preapproved. To clarify, prequalification is not the same as preapproval. Prequalification is merely an estimate from the lenders of what they can offer you. Preapproval is an actual loan approval that you get after meeting the requirements according to an underwriter.
Not looking at all the possible options there are
It is not easy to find overseas property but it can be very exciting. As a first time buyer, you may get fixated on an overseas real estate that meets your standards or even exceeds them. Make sure to still properly inspect other options so you can get the best property for the best price.
Passing up home inspection
It’s a thousand times better to get your cash out for a home inspection before officially transacting rather than to find something wrong with your property after you’ve bought it. Home inspections can also reveal issues of the property which you can use to bargain for the asking price.