Buying a condo can be an exhilarating experience, especially when this is a first home purchase. Many people dream of buying their first condos for years, and end up being unprepared when actually comes the time to buy one. In the process, they often end up committing mistakes that could end up hurting them in the long run. Here are some of the most common mistakes people make when buying a condo.
Often, in very hot real estate markets, people have a tendency to move prematurely because they’re afraid of missing out on what they see as a once in a lifetime deal. They end up buying out of emotion while overlooking some of the other possible issues with the property.
Others end up getting caught up in house speculation and get on the market in an attempt to make a quick buck. While in some cases, the gamble may be worth the risk, don’t go house broke trying to capitalize on a bubble that may eventually burst.
Not Getting Pre-Approval
It’s surprising to see how many people still go house shopping without getting a pre-approved condos mortgage first. That’s like going grocery shopping not knowing how much you have in your wallet.
You should always get pre-approved before you even start looking so you can tell how much you’re actually working with. And this is especially true with condos since getting financing for them is a little trickier. This will also save you the disappointment of getting rejected after you’ve found the house you were looking for.
Getting Seduced by the Building and Ignoring the Location
A lot of people end up falling in love with a unit completely ignoring where it is located. But when it comes to real estate, a good location always trumps the building itself.
The condo you may have found may have the perfect amenities, views, architecture and extras, but if it’s in an undesirable part of town, it will simply not have the same value. So, make sure that you check out the location first before you decide which condo would make the best purchase.
Shiny New Ball Syndrome
Many buyers will be easily mesmerized by anything that looks new. Just because something looks new, doesn’t mean that the quality is up to par. Many developers go around and buy old, decrepit buildings and end up making a few cosmetic renovations to make them look better on the surface. Often, they use the cheapest materials and only care about the facade. In many cases, much worse issues are camouflaged and only start showing years after.
If you want to find the condo you’ve always dreamed of, and avoid ending up with the short end of the stick, make sure that you refrain from committing the mistakes in this article. Make sure you’re pre-approved before you even start looking, don’t buy out of emotion and always choose location over appearance. And last but not least, don’t fall into the trap of buying a unit just because it looks good.