For most of us, buying a home is the single biggest financial transaction we will make. It's exciting and  fulfilling, but it can also be overwhelming, even downright frightening. The pitfalls are many but fortunately most are commonplace and we can tell you how to avoid them. 

Here's a look at some of THE RIGHT THINGS TO DO to avoid the common mistakes made by home buyers...

  #1.  Don't start looking before you figure out what you are looking for! There may be a big difference        

 between the kind of home you want and the kind of home you need.

#2. Don’t forget to factor in your FUTURE NEEDS!  What will you need in 5 years, or 1 0?  Will you need to accommodate a larger family, a home-based business, in-laws, an empty nest or physical needs from aging?

#3. Figure out how much you can afford to pay BEFORE you start looking.  Remember that there is a myriad of costs that you probably haven’t even considered: mortgage, insurance, appraisal fees, inspection fees, transfer taxes, lawyer fees, state, provincial and federal taxes, to name a few key ones

#4. Get pre-approved for a mortgage.  Many sellers want to know that you can really afford the home before they will take your offer seriously. You can go through the application process for a mortgage and have financing in place before you even start looking

#5. Be familiar with the real estate market so you don’t PAY TOO MUCH!  You may not have time to do the research, but your Real Estate Agent is well aware of the local & national housing situation.  Ask your Buyer's Agent for a market survey of homes in your price range, including the asking and selling prices of comparable homes that have recently sold.

#6. Get your own real estate agent! Most of us think of a real estate agent as representing the seller, which they usually do. But having your own agent to help you buy a home can save you time and money.  The best part is, the buyer’s agent is paid by the seller, not the buyer

#7. Have your own lawyer! Your agent's job is to find you a home and take care of your best interests in the offer process.  It is not their job to give you legal advice. Your lawyer’s job is to make sure your back is covered legally with your sale and to transfer the ownership of the property.

#8. Have the house professionally inspected. In your agreement with the sellers, one of the conditions should be a favorable report from a house inspector. The inspector's job is to check the property and tell you what defects need to be repaired or replaced. Based on his report, you might want to walk away from the property or negotiate with the seller for repairs or an allowance for repairs

#9. Keep your emotions under control. 5 typical emotional first-time home buyer mistakes:

1. Love Hurts– Don’t fall in love with a home and forget what your needs are

2. Keep Control-  Don’t loose control/get swayed or sidetracked by an assertive agent, mortgage advisor, or by undue advice from family or friends (they don’t have to live there, you do!)

3. Decisions -  Don’t get overwhelmed.  If you can’t decide about anything from budgets to what kind of house you want then maybe you aren’t ready to commit to home ownership. If you're simply worried that something better will come along after you've made your offer, remember that there's more than one home out there with your name on it. Take the time you need to make a sound decision, but don’t be afraid to commit to a new home purchase.

4. What are you getting into?- Don’t forget the responsibilities of home ownership. It takes time and commitment to maintain this large investment.

5. Is it the right time?- Don’t buy before you are ready. If you are suffering cold feet over becoming a homeowner, sit down and take stock of the situation. Examine your motives for thinking you should take this giant step, looking at what it will mean to your lifestyle and budget. Talk it over with your financial counselor, your real estate agent and your mortgage professional.  Remember that there are two million first-time buyers a year and most of them felt the same trepidation as you. Most of them are happily taking on their exciting new challenge.

#10. Location -Location- Location!    The value of your home is affected by those around you. The home may be perfect, but look carefully at the neighborhood too.

Factors determining the best location include:

· Surrounding homes- the condition of other homes, including buildings and grounds

· Size Matters- the relative size of your potential home compared to the others. A small home   surrounded by large ones may have taxes disproportionately high because of the neighborhood

· Placement- the outer edge of an area is less desirable than being in the middle, surrounded by similar homes, except if the property borders open spaces likes parks & golf courses

· Best Buy- the least expensive home in the best area or in an area in transition is a best buy. You can buy low now to sell high later.

#11. Don’t Screw Up The Offer  Some common mistakes at this stage include:

· Low-balling- New buyers often offer too little or want too many concessions from the seller.  Causing them to reject the offer and not counter it

· Paying too much -Avoid bidding wars at all costs. Sometimes the threat of another buyer is simply a ploy to scare you into upping your offer.

· Being afraid to negotiate- Most of us hate to haggle, but negotiation is the key to the best deal. Know your bottom line and be prepared to walk away if you can’t meet it

· Being pressured into a quick deal- If the property has been on the market for a long time, it might be a sign that something is wrong with the property.  Take your time & do your inspections!

· Not asking the seller to pay for extras- Don’t be afraid to ask the seller to pay to fix any problems found in the home inspection, pay for the property survey, etc.. Your agent can advise you.

#12. Follow through to THE END - Even after you have a firm purchase, be vigilant!

· Possession  Date - Make sure you and the seller both know when you are to have vacant possession- that is, when they and their stuff is to be gone.

· Insurance- Make sure you have arranged for adequate home insurance and that it's timed to come into effect so there is no gap between the sellers insurance and yours.

· Final Check-  Do a thorough walk-through  before you close and before you take possession to ensure that all conditions are met. Are the light fixtures all in place? Are all the appliances you agreed to buy still there?

· Boot Them Out- Don’t let the seller stay in the property after the time of possession. If they decide not to leave or something is damaged you could have little recourse except costly lawsuits.

In Conclusion:

Buying a home is a BIG DEAL! You’ll spend more on a home than on any other purchase you make, so do your homework and surround yourself with professionals who can help you, then start looking for that dream home, at the dream price