Jan 24, 2022
Buying a new home can be an exciting experience, but it's always best to be prepared for the home buying process. While there are many home purchase transactions that go smoothly, there are also some that don’t turn out too well…
We may be biased, but we tend to believe building a new house with an experienced home builder can help you avoid mistakes altogether and get you into your dream home quicker. Read on to learn more about these common pitfalls and how a team like ours can help you plan, build and close the deal on a new construction home.
Not Getting Pre-Qualified
One of the biggest home buying mistakes people make is not getting pre-qualified for a mortgage. Pre-qualification helps home buyers find out if they can get a loan and what their interest rates may be like. Knowing how much money you can spend on a home before you go shopping for one will not only help you find something that fits into your budget, but it may also give the home seller confidence in your offer.
Now if you're considering building your house, Overstreet Builders can make this first step a whole lot easier for you. When you buy a home from us, we'll work with your lender to make sure that everything is set before construction begins. You can focus on picking out floor plans and finishes rather than worrying about home loan parameters.
Not Having A Big Enough Down Payment
Saving up a down payment is always important. And the bigger the down payment, the less you'll need to bring each month for mortgage payments. Plus, when you have money saved that's equal or higher than 20% of the home's sale price, you can avoid the extra expense of paying for private mortgage insurance. That can save you hundreds of dollars a month and make home ownership more affordable overall!
Not Considering The Monthly Costs
When you're buying a home, it's easy to get caught up in the fun details like where you’ll put the couch or what color you’ll paint the bedroom. But that’s when people forget about more important matters, like the costs of utility bills and taxes.
So while some homes may seem like they will be cheaper up front than others, home operating costs often cancel this out. Take time to do research so you can accurately compare different homes and how much they will cost you monthly.
One of the major luxuries of a newly built home is that it will save you money month-to-month. Better construction materials, energy efficient home features, and home warranties will all help keep your costs down. Building a new home really works out to extra savings and less stress over time!
Buying A Home You Can't Afford
You don't want to get in over your head when it comes to your home. Budget wisely, and make sure you have room for unexpected costs like home repairs (especially if you're buying pre-owned). Not understanding all costs before closing can lead home buyers into a situation they don't want to be in.
Our skilled team has over 100 years of combined experience in the field. We've gotten our process down to a science, and we have great relationships with our suppliers and subcontractors. This gives you the best bang for your buck and keeps each phase of construction on-time and on-budget.
Not Getting a Home Inspection
A home inspection can cost you upwards of $500 or more in the Chicago area. And for a pre-owned home purchase, an inspection might be a good investment. Afterall, it's important to know what could be wrong with your house on a structural level.
But with a new home, you can completely forego the cost of a home inspector! City officials inspect the building process in each phase of construction. No detail is overlooked. This gives buyers peace of mind that they're getting a home that's ready to be lived in and will last for years to come.
Not only that, but when you build a home from scratch, everything is brand new and you're protected with a robust warranty. All of the home's systems are in top-notch condition upon closing — saving you time, money and heartache!
Many of the mistakes homebuyers make happen when they go it alone. Partnering with a homebuilder like us means you'll have support through the whole process. Plus you'll be getting a home that's perfectly tailored to your family's needs and lifestyle.
Ready to work with Overstreet Builders? We'd love to hear from you. Contact us about your next home today!