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Considering your first home? You’ll want to avoid these common mistakes.

Are you thinking about buying your first home? Before you can unlock the door to homeownership, you’ll have to take some important steps. As one of the biggest financial decisions you’ll make, you will need to know what to do and what not to do. Not all the most common home-buying mistakes in a real estate transaction can be reversed, much less fixed before closing. During your first home-buying journey, be sure to avoid these pitfalls.

Mistake No. 1: Looking for a home first and a loan later.

Home buying doesn’t begin with home searching. When it does, it only ends in heartache. Start with getting a mortgage pre-approval (not just a prequalification) so that when you do fall in love with a home, you won’t have to wait to get a loan pre-approval and potentially miss out on the sale. Or worse, learn that you haven’t been searching in your correct price range. Beware of those champagne tastes on a beer budget situations!

Mistake No. 2: Not getting professional help.

If you’re new to the home-buying game, you’ll need a reputable, experienced real estate agent and knowledgeable loan officer. Venturing into this process alone, without experts to help, is not fiscally responsible. Buying a home is one of the most expensive investments of your life. As a buyer in San Diego you don’t pay for representation. The seller is responsible for compensating the listing agent and the selling agent (buyer’s agent). While every rule has its exception, first-time homebuyers generally should not try to deal directly with the listing agent. The listing agent has a fiduciary responsibility to protect the seller’s best interests and negotiate the best possible price and terms for the seller.

Mistake No. 3: Using up savings on the down payment.

Buying a home is not a small feat, and it can easily wipe out your savings. With that said, it’s essential that you don’t let it. Some people scrape all their money together to make the 20 percent down payment, but are then left with no savings at all. Homeowners, especially new ones, will need to have a rainy-day fund. Explore loan options with your lender and try to maintain a comfortable balance without draining all of your resources.

Mistake No. 4: Getting new loans before the deal is closed.

Lenders pull credit reports before the closing to make sure the borrower’s financial situation has not changed since the loan was approved. Any new loans on your credit report can jeopardize the closing. Buyers, especially first-timers, often learn this the hard way. When preparing to purchase a home, do not buy a new car, new appliances, or make any significant purchases that could negatively influence your ability to obtain a loan.

First-time home buyers, secure the help of a professional real estate agent. To get started, contact Jenn Blake Real Estate Group at Pacific Sotheby’s International Realty in San Diego, California at 858-663-6788.