You might be frustrated to buy a house only to learn that it doesn't fit you as well as you thought. Such a feeling is known as buyer's remorse. Here are some regrets homebuyers often have and tips to prevent them.
Some people buy houses and then regret how much they spent on the purchase. Take these measures to avoid such regrets:
- Include an appraisal contingency so you don't pay more than the appraisal price.
- Research the right comparable sales (comps) to understand that similar houses in the neighborhood sell for.
- Be wary of bidding wars — set your limit from the beginning, and stick to it.
You can also use your negotiation skills to buy your home of interest at the lowest price possible.
High Ownership Costs
Some people also buy homes only to realize that they can't truly own their purchases. You might experience this regret if you don't know the true ownership cost. Here are some homeownership costs to anticipate before purchase:
- Maintenance costs
- Property taxes
- HOA fees
- Homeowners' insurance
- Mortgage payments
The best thing is to itemize the anticipated costs and include them in your future budgets. Adjust your purchase accordingly to ensure you can easily cover the costs.
The most beautiful house in the world might not make you happy if it sits in a polluted, crime-infested neighborhood. In short, the location of your purchase also matters. Here are some tips to help you avoid neighborhood regrets:
- Research neighborhood statistics, such as crime rate, unemployment, and population.
- Confirm that the local weather fits your lifestyle.
- Research the demographics to ensure you will fit in.
- View the house at different times of the day to get a first-hand feel of the neighborhood.
It also helps to define what you want so that you can dismiss neighborhoods that don't fit your lifestyle. For example, you should get a neighborhood with a high walkability score if you prefer walking to driving for short errands.
Wrong Home Size
Another regret some people have is the feeling that they have bought the wrong size of house. Here are a few tips to help you avoid this regret:
- Determine whether your current home is bigger or smaller than your ideal home.
- Assess whether your needs are likely to change in the near future.
- Calculate how much house you can afford.
- Match your house to your lifestyle. For example, you may need a big home if you frequently entertain guests.
Consider both the size of the structure and the lot/land in your evaluation. Hopefully, you will get a house that checks all the must-have boxes for you.
To learn more about buying homes for sale, contact a real estate agent.