7 Things You Should Never Ever Do When Buying Your First Knoxville Home
There are a lot of things you shouldn’t do when you buy your first Knoxville home.
The process of buying a home is foreign to a majority of first time buyers. It’s you’re first go at buying a home, so no one blames you aren’t completely sure what you’re doing. You’re bound to make a few mistakes along the way.
To help prep you for the process, here are 7 things you should never ever do as a Knoxville first time home buyer. You can consider this list a fairly good starting point of things you should absolutely not do when buying a hoe.
Do It Alone
How do you really feel about buying your first home alone?
If you do this alone, you need to be fully prepared to take on all of the risks that come with buying a home. Do you feel confident enough to write a contract with all the necessary contingencies? Do you know enough about real estate to know what to do when a deal starts to head south?
If you’re like a vast majority of first time buyers, your answer is likely no.
Do yourself a favor, and hire yourself an agent. It’ll be the best thing that you do and make the process less stressful.
Tell Little White Lies
As with anything in life, lying will get you nowhere.
This is particularly true when it comes to applying for a loan. Lenders do a very detailed when it comes to giving loan approval. They will investigate your credit, income, and bank statements. They will require documentation on all of these items, so there will be no hiding anything from them.
It is much better to be upfront with a loan officer from the very beginning than have them find something out in the middle of the approval process, which could delay closing or even worse.
Apply For Additional Lines Of Credit
Your credit is very important from the time you consider buying a home to when the moment you finish signing paperwork at closing.
Good credit will ensure that you’re able to get approved for a loan. Ensuring that there are no changes to your credit during the loan approval process will allow you to successfully allow you to close on a home.
Your credit will be monitored from the second you apply for a loan, so any changes during the process can raise a red flag. Any changes in credit can include: applying for additional lines of credit or utilizing more of your credit limit than normal.
Quit Your Day Job
Income is important when you’re applying for a loan, so changing jobs is something that you should do when you’re in the middle of applying for a loan.
In certain cases, changing may not be preventable. If that is the case, it is absolutely essential that you let your loan officer know that your position has changed. When a loan officer is informed, they can be better prepared.
Changing during loan approval doesn’t guarantee that the loan will be denied. It’s just better that all important parties are informed about the change.
Making payments is always important to your credit. Particularly, when you’re buying a home.
Missing payments can ding away at your credit score, which can be very bad when you’re applying for a loan. It’s important to keep in mind that your credit will be pulled again prior to closing. If you’re credit is borderline and drops too low, you may be denied for a loan altogether.
In addition, any late or missed payments that show up on your credit may require explanation to your lender.
Moral of the story, be sure to pay your bills on time. You’re applying for a mortgage, you want to show you are responsible with your credit.
Spend Your Savings
Showing that you’re responsible with your money is important when it comes to buying your first home.
When you’re in the process of buying a home, it can easy to spend money very quickly. Paying for inspections, planning on your move, and thinking about buying new items for your home, make it very easy to go through money quickly.
Just keep in mind, you don’t want to burn through your savings so much that you don’t have enough for your down payment.
Let Your Emotions Take Control
Buying your first Knoxville can be bit of a rollercoaster. It’s exciting. It’s overwhelming. And, it’s scary.
At some point or another during the transaction, your emotions will probably get the best of you in one way or another. Before making any rash decisions, like overbidding on a home or walking away from the transaction, it can be important to slow down and think things through.
Surround yourself with some trusted professionals to help you through the process and offer you sage words of wisdom. Your realtor and loan officer can be there throughout the transaction to help offer your advice on what needs to be done.
When things get crazy, stop and take a breath. Think things through and take time to listen to what the professionals are advising you to do.
Are you thinking about buying a Knoxville home this year? Please let us know if there is anyway that Knoxville Home Team can assist you. Rick can be reached at 865-696-9002 or via email at Rick@KnoxvilleHomeTeam.Com. Kati can be reached at Kati@KnoxvilleHomeTeam.Com.
You can start your home search today on our Knoxville Home Search Page.