Home Buyer Mistakes: Mistake #1:  Not knowing how much they can afford before making an offer.      The easiest way to avoid this mistake is to get pre-qualified for a mortgage by a lender so you'll know in advance exactly how much you can afford. Mistake #2:  Not realizing in advance who the Real Estate Agent really represents.      Most people think that the agent they are working with is working for them.  Unless the agent is working as a transaction broker, representing neither party, they represent the seller. Mistake #3:  Not realizing that the wrong mortgage can cost thousands of dollars in needless interest and taxes.      Mortgages can and should be part of your total financial investment planning.  Check with your accountant.  Your CPA will be able to tell you what the long-term effects of a new mortgage will be on your overall financial picture.  Mistake #4:  Not discovering hidden defects before buying a home.      This is one of the most expensive mistakes and it is also one of the easiest to avoid.  Have a professional pre-purchase inspection done before you close Mistake #5:  Not knowing how their credit affects their ability to buy or refinance a home.      Before you buy a home, many of the clouds on your credit history can be cleared up or even eliminated.  Your mortgage professional can help you review your credit file in advance and possibly suggest things you can do to help improve your score.