Buying your home is exciting, but it can also feel overwhelming. Between finding the right house, figuring out financing, making an offer, inspections, insurance, and closing, therer are a lot of moving pieces.

Fortunately, many of the problems first-time homebuyers encounter are avoidable.

At Lincoln Lending we believe one of the best thing you can do is understand the homebuying process before you find the house you want.  Here are five common mistakes first-time homebuyers should avoid.

1. Shopping for a Home Before Getting Pre-Approved

One of the biggest mistakes we see is also one of the easiest to avoid: looking at houses before talking with a lender.

It's understandable. Looking at houses is fun.  Getting pre-approved for a mortgage doesn't sound nearly as exciting.

But imaging find the perfect house, deciding you have to have it, and then discovering that the monthly payment is outside your comfort zone - or that you don't currently aualif for the loan you expected.

Getting pre-approved first gives you a much better idea of"

• How much you qualify to borrow
• What price range makes sense for you
• Approximately how much cash you may need at closing
• What your estimated monthly payment could look like 

It can also help your real estate agent focus on the search on homes that actuall fit your situation.

Don't find the house and then figure out the financing. Figure out the financing first.

2. Relying Too Much on Online Mortgage Calculators

Online mortgage calculators can be useful for getting a very rough idea of a mortgage payment, but they shouldn't be used as your final answer.

Calculating principal and interest is relatively easy. Estimating the actual monthly housing payment can be more complicated.

Depending on the property and loan program, your payment could also include things such as:

• Property taxes
• Homeowners insurance
• Mortgage insurance
• Homeowners association dues

Property taxes and insurance costs can vary significantly from one property to another and from one area to another. Loan programs can also have different mortgage insurance requirements.

That means an online calculator may show a payment that looks great but doesn't accurately represent what you would actually pay each month.

Before deciding what price range you're comfortable with, talk with a mortgage professional who can help you estimate the total monthly payment, not just principal and interest.

3. Trying to Buy a Home Without a Real Estate Agent

With so much real estate information available online, some first-time buyers wonder whether they really need a real estate agent.

A good Realtor can provide much more than access to property listings.

Your agent can help you:

• Find properties that meet your needs
• Understand the local real estate market
• Prepare and negotiate an offer
• Navigate contracts and important deadlines
• Coordinate inspections and other parts of the transaction
• Identify potential issues you may not have considered
• Work with the lender, title company, inspectors, insurance professionals, and others involved in the transaction

Buying a home is a major financial decision, and having an experienced professional representing your interests can make the process much easier to navigate.

If you don't already have a real estate agent, Lincoln Lending works with experienced real estate professionals throughout Oklahoma and can help connect you with someone.

4. Falling in Love With a House Too Quickly

This one can be difficult.

You walk into a house and immediately picture your furniture in the living room, dinner in the kitchen, and your family spending holidays there.

Suddenly, you're no longer evaluating a house. You're emotionally attached to it.

That's when buyers can start overlooking problems, stretching their budget, or making decisions they wouldn't otherwise make.

Before making an offer, try to separate the emotional side of buying a home from the financial side.

Ask yourself:

• Does the home fit my budget?
• Am I comfortable with the estimated monthly payment?
• Does the property really meet my needs?
• Are there repairs or improvements I'll need to make?
• Am I keeping enough money in reserve after closing?
• Would I still think this was a good decision if there were other buyers interested in the property?

It's perfectly normal to get excited about a house. Just don't let that excitement convince you to make a financial decision you'll regret later.

There will always be another house.

5. Making Big Purchases Before Closing

You've found the house. Your offer has been accepted. Your loan has been approved.

Time to buy the new furniture, right?

Not yet.

One of the most important things to remember is that your financial situation shouldn't change significantly while your mortgage is being processed.

Before closing, avoid making major financial moves without talking to your loan officer first.

That includes things such as:

• Financing a new car
• Buying furniture or appliances on credit
• Opening new credit cards
• Running up balances on existing credit cards
• Co-signing a loan for someone else
• Changing jobs or employment without discussing it with your lender
• Moving large amounts of money between accounts without keeping documentation

Lenders may verify your credit, employment, assets, or debts again before closing. A new monthly payment or significant financial change could affect your loan qualification.

We understand that you'll probably need things for your new home. Wait until after you've closed before celebrating with a major purchase.

And when in doubt, call your loan officer before making the purchase.

Start With a Plan, Not a House

Buying your first home doesn't have to be intimidating.

One of the best ways to make the process easier is to assemble your team and understand your financing before you start seriously shopping for a home.

At Lincoln Lending, we'll help you look at your financial situation, discuss available home loan programs, estimate what your monthly payment might look like, and help you determine a comfortable price range.

Then you and your real estate agent can concentrate on the fun part—finding the right home.

Thinking about buying a home in Oklahoma? Contact Lincoln Lending and talk with one of our Home Loan Coaches before you start shopping.