If you are a first-time home buyer and experiencing buyers remorse, you’re not alone. According to Bankrate.com nearly two-thirds, or 63 percent of millennial homeowners surveyed said they had regrets about buying. While some of those regrets can be negotiable with some paint and TLC, there are cases where buyers regret is a more serious issue and you could be in over your head with your mortgage.
Mortgage Trouble and Buyers Remorse
Being a first-time homebuyer isn’t something you are prepared for in high school or even college. Learning how to navigate mortgage shopping and choosing a lender is a key part of the process of buying a home and without the proper education you might have a mortgage you are unhappy with.
You might not be happy with your choice of mortgage lender if:
- You didn’t know to compare mortgage offers.
- You felt pressured into a product that isn’t a good fit for you.
- You’ve had issues with your mortgage servicer.
- You ended up with a mortgage rate that was higher than you could have got elsewhere.
If one of these issues apply to you then you might have a mortgage that is higher than you anticipated and now feels like a 30-year commitment you aren’t ready to take on. If you find yourself in this situation you can look into refinancing your mortgage into a product that fits your budget better. Keep in mind that refinancing means a second set of closing costs and all the legwork of shopping and applying for a new mortgage. If you don’t have the funds to refinance and home ownership is looking more like a ball and chain than the American dream, you always have the option of selling your home.
According to a Trulia survey 9% of homeowners stated that they wished they had been more financially secure before they decided to buy a home. As a first time homebuyer in the 18-34 age range, that regret nearly doubled at 17%. Perhaps you qualified and can make your mortgage payments but all the unplanned for expenses that come with home ownership have come as a surprise. Purchasing a home means a monthly mortgage and now being financially responsible for the up-keep and fixing of the home. Whether it means purchasing more furniture to fill your space or the unexpected costs of repairing and replacing appliances, a home purchase is more than just the mortgage.
Reviewing finances to tighten up any excessive spending and to find ways to save can help ease the financial burden you’re experiencing. Paying off any low-balance debts to cut excess debt from your budget and refinancing a high car payment can help. If you look over the budget and realize that cutting extra expenses aren’t going to cut it in making your financial situation any better, then selling your home could give you more time to plan for a different future home purchase.
Buyers Remorse after Buying a House in a Bad Neighborhood
Perhaps you had to do your house shopping from out-of-state or maybe what looked like a pristine neighborhood was actually a house with loud, up-all-night-neighbors instead. Unfortunately what looked good on paper might not be so great in reality. If your buyers remorse goes beyond losing that new-home infatuation and you find yourself in a less-than-ideal neighborhood you might feel stuck in your new home purchase. According to a Trulia survey, 15% of homebuyers wish they had known more about their home or neighborhood before they moved in, so finding out the truth after the house has been bought isn’t as uncommon as you might think.
Buyers Remorse Due to Job Loss
Buying your first home is often an event you spend a lot of time and money preparing for. Purchasing the home requires you to put thousands of dollars down from your savings for a downpayment, not to mention all of the extra purchases that can come with buying your first home. When you experience job loss not long after buying your first home, buyers remorse is a very real thing. What seemed like a great new adventure can fill you with a sense of dread, not knowing how long it will take to find a new job or if the new job will require moving. With much of your savings tied up in your home purchase it’s easy to feel unsettling buyers remorse when your big purchase came at bad timing. Working with your lender or putting your home on the market are viable options if you don’t want to liquidate your savings while you are unemployed.
What To Do About Buyers Remorse
If you’re dealing with buyers remorse for any of the reasons above then you know the solution isn’t as simple as painting the living room a different color or landscaping the backyard. These concerns are valid and can affect your financial future and tie you down to a house in a bad situation if you don’t take action. While each situation can have various remedies to ease the buyers remorse, the reality is that sometimes the best solution is to simply sell the home. This can be a difficult decision, especially as first-time home owners, but it doesn’t have to mean expensive closing costs, or the added stress of showing your home and hoping for contracts to go through. Gary with Gary Buys Houses, is a non-traditional home buyer exclusively for Utah residents and land owners. He can give you a fair offer on your home in a fraction of the time it would take to sell your home normally.
Gary is a direct cash buyer, he makes the offer and you don’t need to worry about inspections or negotiations or backup buyers. He specializes in hassle-free closing that can be done in as little as fast as 5 days. If you need some time to locate new housing and get your family settled then Gary also offers a cash now, sell later program. With this option you can sell your house to Gary now and stay in the home rent free while you use the money to find a new place to live. The financial and stressful burden of your home will be removed while you still maintain ownership of your home until closing in 2 to 3 months.