Buying a house for the first time is a very tedious or difficult task that can easily be wrecked with just a few wrong decisions. What not to do before buying a house can be obvious to some, but there are some things home buyers wish they didn’t do before purchasing their first home.

What Not to Do Before Buying a House

Confused on what not to do before buying a house? Avoid using your credit card for small purchases, don’t make any other large purchases and some other tricks to prepare.

Avoid Using Your Credit Card for Small Purchases

With all the excitement of moving to your new space, ideas of what appliances and household items you want come to mind rapidly and with creativity — especially if you’re designing it on your own or looking to make any additions to the home. However, one of the most common mistakes that new buyers make is preparing for the living space. If you absolutely need to invest in a washer dryer set, wine cooler or refrigerator prior to moving in, try to purchase as much as you can with cash or debit.

Don’t Make Any Other Large Purchases

This is not the time to go on a spending spree. Since you’re about to buy a home, your credit score must be great. With a great score, you may be able to purchase a car or large appliance, but just wait on all of that. You don’t want your credit to take too many big hits at one time by being checked so much through different establishments. The bank may decide that you actually can’t afford these and retract their approval for your mortgage. There is also no need to add one the monthly payments or fees that you’ll have to pay for other than all those that come with purchasing a home.

Do Not Procrastinate on Home Insurance

Many know that this is a vital requirement for move in, but it is one of the main tasks that get put off until the last minute and buyers are left scrambling trying to find a company, what coverage they want and move around the finances to purchase the one they’ve chosen. You’ll need to speak to your lender or bank on what other insurances are needed before closing just in case there is additional requirements in your area. These kinds of insurances are usually specific to the region of purchase like flood insurance or house fire insurance. Proof of all insurance is necessary before close and without proof, closing can be delayed.

Keep Your Job Until You’ve Moved In

Let’s handle one major life decision at a time. If you have been considering a career change or just quitting your current job, try to wait until after the move. A sudden unemployment will look bad to any lenders, who like to see consistent job history. It is out of your control in the case that you are fired (although, you can try really hard not to get fired, maybe?).  

Make Sure Your Bank Deposits Are Consistent

When you make random large cash deposits into your bank account, lenders become skeptical in whether they can trust you to make regularly scheduled house payments.

Bottom Line

Don’t know what not to do before buying a house? Mistakes can be easily made during the process of buying a house that can ruin your chances of being approved for loans or a mortgage. Be conscious of your purchases while waiting to close and make sure you’ve put all of your small requirements as a high priority to adequately prepare yourself for homeownership.  


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