Buying a house is a big decision for everyone involved. For most people, the first house they buy is the one they plan to live in for a reasonable amount of time. It could be the one where you start your family – a completely new and exciting chapter of your life.
Deciding on what and where to buy can be stressful and confusing, especially if it’s your first time. Even if you’ve done it all before, buying a house can be both physically and emotionally draining. In this article we’ll be exploring how emotions can create mistakes when buying a home, and being aware of these common mistakes might just get you out of trouble.
Cognitive Dissonance
You know that feeling you get when you finally decide to buy a new pair of jeans that cost twice as much as your current ones. The moment you realise these new expensive pair of jeans aren’t much better than your old cheap ones, but you still try to justify they are only because you paid more. This is a classic example of how cognitive dissonance works. You don’t want to justify spending too much on a house that really isn’t for you. Try to take the emotion out of the equation and really think about whether a house is suitable for you before buying it.
Buying a house and having a mortgage, whether it’s bigger than the last one, smaller, or your very first, it’s going to play a big part in your life moving forward. You don’t want to experience buyer’s remorse. Create a pros-and-cons list to help you put emotions aside when making a decision.
Overthinking
Perhaps you might be a more diligent buyer who does extensive research on each property in the hope of getting a better deal. Perhaps you’re looking for a better price, a better location and a better house. This is, of course, everything home buyers are looking for but if you’re constantly trying to chase this idea of a perfect house then you risk never dipping your toes into the water.
Instead be prepared to compromise. Finding a home that ticks all the boxes is extremely rare so instead focus on what is more practical and realistic for you and your family.
Attachment
You’ve spent months looking for your dream home and you have your eye on something special. The house is kind of old, the yard is lush however the pricing is a bit out of your budget. You picture yourself in the garden and think to yourself you could make it work although it would take some time (and money) to fix it up.
No matter how perfectly matched a house seems to you, if you have to sacrifice too much then you should reconsider whether it’s worth the effort or whether you are just emotionally attached to the house.
Try not to focus on just one house at a time. If you are so attached you won’t even consider any other houses on the market, then perhaps it’s time to take off those rose-coloured glasses and notice what other properties you might be missing out on.
Don’t let your attachment to a single potential house stop you from seeing all the other potential houses out there in the market.
Too good of a deal
There’s a reason why this house that is ‘just too good to be true’ is still on the market. Don’t be fooled into thinking that you’re the lucky person that has found this house for an amazing price. If it seems readily available, then there’s a chance that a lot of the other people who have looked at it have already noticed the flaws.
It might be a structural problem, a sign of pest infestation, or right underneath a frequent flight path. Think about whether you are willing to take these risks before considering a house that’s ‘just too good to be true’.
If you are considering buying your next home but need to sell first, let us help you maximise your sale price so you have more money to spend. Our Vendor Advocates are waiting to hear from you.
Book in a call with us or visit us at www.innovativeproperty.com.au for more information.
