Many people make emotional decisions when buying a home. An emotional purchase can lead to regret in today’s market with high prices and interest rates.
Here are some of the biggest regrets people who purchased in this market have.
Not Buying Four Years Ago
People entering the market in these trying times are kicking themselves for not buying four years ago when prices were reasonable and interest rates were low.
Two Weeks Too Soon
You’ve bought the house, finished the inspection, and just signed that closing paperwork when your dream house in your dream neighborhood hits the market.
Once you’ve made a decision, you should stop looking.
Discovering a Disaster
Inspections don’t find everything. Many people only discover a horrible housing disaster after moving in.
The Wrong Inspector
Buyers must do their due diligence in hiring an inspector in the first place. Some may miss fatal flaws in the foundation or massive problems around the house.
Many families are taking what they can get in this market. Some bought without considering the neighborhood’s schools, safety rating, and walkability.
A High-Interest Rate
People buying now have to pay far more for their mortgages than people did just a few years ago. This high-interest rate environment stretches new buyers’ housing budgets to the max.
Pre-Move in Remodel
Pulling up the carpet and repainting before moving in is much easier. Many got so excited about the move that they figured they’ll do this later, but it’s a lot harder once you live there.
Life Changing Circumstances
Imagine buying a home, thinking you’ll start a family, and then getting served with divorce papers shortly after closing. Your entire life is in shambles, and you may not be able to afford the mortgage alone.
Concern Over a Pending Crash
The economic uncertainty makes many who bought recently nervous. What if the market crashes, and they lose all their equity?
Buying a Flip
Most contractors who flip homes handle all the problems and modernize the house for the next family. Some shady contractors put a lovely dressing on a problem and sell for a massive profit, leaving the next family holding the bag.
Too Much House
Many homebuyers get caught up in the excitement and end up buying more house than they need. They stretch their budgets on the mortgage, leaving little left over for renovations.
Adjustable Rate Mortgage
Some folks could only afford to lock in at an adjustable rate and are worried about what will happen to their mortgage when the rate changes. People who bought with an adjustable rate three years ago are apprehensive now.
Becoming House Poor
Many people put all their money into their homes, leaving little left over for anything else. Here’s how to manage when you’re house-poor.
The Hidden Costs of Buying a Home
When buying your first house, you probably considered the mortgage, interest, and insurance. Be sure to factor these hidden costs into your budget as well.
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