Mistakes to Avoid in First-Time Home Buying

Without proper preparation and guidance, house buyers can commit costly mistakes that may lead to serious consequences. Young couples and real estate investor newbies have the general tendency to commit such mistakes when buying a home for the first time. In fact, even buyers with previous experience could fall prey to some blunders.

Financing Faults

Real estate is a serious investment, which means that buyers’ finances should be in order before they decide to buy a home. First and foremost, they should ascertain their budget. People who are searching for Vancouver houses for sale should secure their mortgage, and calculate their income and expenses to satisfy the loan in a timely or convenient manner.

Other investors may also choose to pay outright with substantial savings or income from selling assets. They should never purchase a new house when the previous one, whose value will be used to finance the new home, is still in the market. This makes sure that the buyer doesn’t get stuck in a rut, and that he or she doesn’t have to acquire debt for the new investment.

Pitfalls without Pros

Trusted professionals are the buyer’s ally in purchasing a home. Experts should conduct thorough home inspections with the buyer to determine the latter’s choices. A REALTOR® provides great options within the budget, and is transparent with the features and terms of prospective properties. These pros can even guide clueless first-time home buyers throughout the whole process – from initial financing matters to closing investment deals.

Avoid these Mistakes when Buying a Vancouver Condo

Nobody can deny that the Canadian real estate industry can be very lucrative at times. However, you should know that a good buy can quickly transform into a bust in a short time, considering how fickle market rates are as well. Whether you’re buying a Vancouver condo for residence or as an investment, you need to be aware of the pitfalls you may come across.

First, buying condos or any other property entails taxes, some of which you may not be aware of if you’re not updated with current events. In Ottawa, for example, the government introduced tighter immigration laws in February 2014, which means that foreign investors can no longer protect their investment income from taxation.

Second, it’s foolhardy for you to think that your condo will naturally appreciate in value over time. History has proven that a real estate boom could sometimes lead to a huge drop in demand, therefore, a drop in prices as well.

Third, upgrading your property in the hopes of selling it for a huge profit isn’t always a good idea. After all, some buyers can be very picky when it comes to certain features they want for their condo.

Finally, and perhaps most importantly, you need to be absolutely sure about your intensions in buying a condo. Shifting from “buying for residence” to “buying for investment” in short order can lead to unforeseen consequences.