Buying a home, especially if it is your first time, can be stressful and at times overwhelming. But there are a few key steps you can take before you begin your home search that will help you to be more prepared and know what to expect in the home buying process. And while this guide is not exhaustive it will help to get you started and help to ease some of the stress associated will home buying.

Most home buyers are either not properly prepared for the experience for simply do not know what to expect. Here are the 6 common mistakes most home buyers make and how you can avoid them.

1. Knowing Your Credit Rating.

Most people do not know what their credit rating is or assume that they have good credit. Your credit rating can influence the lenders decision on not only how much of a mortgage you qualify for but also what your mortgage interest rate will be. A simple credit check through companies such as Equifax will confirm your credit standing and allow you to correct errors that there might be before you apply for a mortgage.

2. Get Pre-Approved.

Most buyers do not know the difference between being pre-qualified for a mortgage and being pre-approved. A pre-qualification will only serve as a guide as to how much you can afford to buy. A pre-approval is a commitment from a lender which states the purchase price and interest rate that you qualify for and is guaranteed by the lender for a specific period of time. This is usually 90-120 days. Knowing how much you can buy a home for will save you time by only concentrating on applicable homes and having a commitment in writing from a lender will give you more confidence in you search.

3. Use A Mortgage Broker

Shopping for a mortgage that's right for you can be tricky and could also hurt your credit rating. Did you know that every time you apply for a mortgage your credit rating is checked and that check is recorded on your credit report? Too many credit checks and a lender my be less inclined to give you the best rate. A mortgage broker will not only be able to shop for a mortgage on your behalf without damaging your credit rating, but can also discuss different mortgage options that better fit your circumstances. There is more to getting a mortgage than just looking at the interest rate.

4. Verify Closing Costs.

Once you have signed on the dotted line you do not want any surprises when the deal closes and you try to take possession of your new home. Apart from the down payment you will need extra funds to pay your lawyer’s fees, property taxes, land transfer taxes and the like. Make sure that your real estate professional can explain all of the additional costs you will have to come up with on closing as the amount could be an extra few thousand dollars.

This is by no means meant to scare anyone from buying a home, but with a little planning and education you can ensure that it is less stressful. And as always speak to your real estate professional who can fully explain and guide you through the home buying process.