According to one advisor the six biggest mistakes made by many first time home buyers are:
- Not taking care of their credit score. This can make a very significant difference to the interest rate a borrower is charged.
- Making a big purchase just before or during a mortgage application. This will almost certainly be reflected in your credit score.
- Not having a proper inspection done before the purchase. Missing a serious problem with the house can cost thousands - if not now, then when you go to sell the house.
- Not having an experienced real estate attorney on your side. An attorney is objective. Everyone else wants to push the deal through as quickly as possible.
- Not including the proper escape clauses in the initial contract. If you are not careful you could lose your deposit when things go wrong.
- Not budgeting enough for insurance. In some cases special insurance such as flood insurance can cost thousands more than just basic insurance.
Source: CNNMoney.com
