Buying your first home is exciting—but it can also be overwhelming. At The Smallbone Team, we’ve guided countless first-time buyers through the process, and we've seen it all: from financial missteps to rushed decisions that lead to regret.
To help you start your homeownership journey on the right foot, here are the 10 most common first-time homebuyer mistakes—and how to avoid them.
Not Getting Pre-Approved Before House Hunting
The Mistake:
Falling in love with a home before knowing what you can afford.
The Fix:
Get pre-approved for a mortgage before you even browse listings. It strengthens your offer and gives you a clear price range.
Underestimating Additional Costs
The Mistake:
Budgeting only for the down payment and mortgage
The Fix:
Factor in property taxes, home insurance, closing costs, maintenance, and potential repairs. A smart rule of thumb is to budget an extra 1–3% of the home’s price annually for upkeep.
Skipping the Home Inspection
The Mistake:
Waiving the inspection to speed up the deal or compete in a hot market.
The Fix:
Never skip a professional inspection. It can uncover hidden issues that might cost you thousands later.
Not Understanding Your Mortgage Options
The Mistake:
Choosing the first lender or loan type you come across.
The Fix:
Compare rates and terms from multiple lenders. Look into fixed vs. variable rates and consider first-time buyer programs you may qualify for.
Overextending Your Budget
The Mistake:
Buying at the top of your pre-approved amount.
The Fix:
Leave room in your budget for emergencies, life changes, or unexpected expenses. Just because you can afford it doesn’t mean you should.
Focusing Only on the House, Not the Location
The Mistake:
Buying a great home in the wrong area.
The Fix:
Consider commute times, school districts, local amenities, and neighborhood vibes. You can change the house—but not the location.
Making Emotional Decisions
The Mistake:
Letting your heart rule your head.
The Fix:
Stay objective. Create a list of must-haves vs. nice-to-haves and stick to it. The Smallbone Team can help keep you grounded.
Forgetting to Consider Resale Value
The Mistake:
Buying a property with unique features that could be hard to sell later.
The Fix:
Even if it’s your “forever home,” consider how desirable it will be to future buyers.
Not Working with a Real Estate Agent
The Mistake:
Trying to do it alone to “save money.”
The Fix:
A buyer's agent (like someone from The Smallbone Team) typically costs you nothing—the seller pays the commission. We protect your interests, negotiate on your behalf, and streamline the entire process.
Waiting for the “Perfect” Time
The Mistake:
Trying to time the market perfectly.
The Fix:
There’s never a “perfect” time—only the right time for you. If you’re financially and emotionally ready, don’t let market conditions delay your dreams.
