Statistics indicate that 99% of the population loves spending money if they have it. It can be a rush to purchase your first car but it’s even better with your first home. It will probably be the most expensive thing you have ever bought at that point. Spending a large chunk of money all at once can be very exciting but also nerve-racking at the same time.
Because you’ve not bought a house before you might find it more stressful than exciting. You want to make sure it is the right home and want to get it right the first time. This can also hold true to 2nd or 3rd time buyers as it is always good to evaluate any substantial investment that you make. There are a number of questions you can ask yourself before you sign on the dotted line.
How long is it for?
There are lots of reasons why you might not want to stay in a certain house for very long. If you are planning on starting a family, waiting on a promotion at work that may cause you to relocate are a couple of circumstances to look at. In those kinds of circumstances is where you have to weigh your options if you are better to buy in a good location with a good resale history or stay in the rental market until you have a clearer picture of your future.
Can you afford it?
You need to keep in mind the source of your income and your spending habits. If you work seasonal for example, your income will fluctuate during the year while your payments will remain the same. It is recommended that your mortgage not be more than 25% of your total income otherwise your world will only revolve around your home and you won't have any disposible funds to play with.
Can you move straight in?
Your home should have passed a home inspection before you even start to get excited. By having this as a subject prior to finalizing the purchase of the home, if anything is seriously wrong with it you have the option to walk away. It will be up to you to decide if you are willing to take on a bit of work that needs to be done but you need to factor this cost into the equation or you may never be able to afford the renos.
Are you sure you’re ready?
With owning a home comes the responsibilities of that home. When repairs need to be made, it is up to you to figure out the best way to approach it. You want to make smart decisions that don't have you on the edge of your budget continuously. This may be where you re-evaluate what you can comfortably afford in regards to purchasing your home.
Who is paying for it?
When you buy your first home, often family members such as parents or siblings will want to assist in your venture. They want to make sure that you get the best deal, find what you need, etc. It may be tough but you need to keep in mind who is paying for the home. What they are looking for in a home can be completely different than what you want & need so you need to remember that you will be the one living in this home and paying for it.
Buying a home can be one of the most rewarding purchases you can make. It can change your life in many ways. If you feel you are ready to take this wonderful journey into the land of real estate, please feel free to give me a call and I would be happy to guide you to the home that's waiting for you.