Thank you for visiting my Boise Homes blog! Check back to this spot often to get the latest info on the Boise real estate market and news that effects you! Here are some good tips for first time home buyers in Boise:
Buying your first home can be a daunting experience. Here are five common and costly mistakes that novice home buyers make:
1. Ignoring the costs of having a low credit score. Lower-score borrowers pay thousands of dollars in increased interest rates over the life of the loan. It may be financially more beneficial to rent for another year until you can take your credit score in hand.
2. Muddying the waters by shopping for other things before closing. Lenders continue to check credit scores right up until the time of closing. Too much shopping could cause the lender to take back the loan. If you are looking into getting your first home it might be a bad time to buy that new ski-doo or car.
3. Scrimping on an inspection. Being surprised by the need for expensive repairs can be financially devastating. Getting a knowledgeable inspector can help save you thousands down the road.
4. Buying without contingencies. Buyers should give themselves an out if the inspection turns up problems or the bank raises the interest rates. Always, always have a backup. You don’t want to be forced into buying a home with lots of problems if the inspection comes back with poorly.
5. No money for insurance. Insurance can be surprisingly pricey. Buyers who don’t budget for it can face a nasty surprise. It’s not a matter of IF it’s a matter of when: you will at some point or another almost certainly need insurance for your home and not having it can truly be financially devistating.