There are many factors to consider when deciding to buy your first home. The time has to be right for the purchase of a new home and the right time to purchase a new home isn’t dependant only upon how the market is in your area. The right time to buy your first home is also dependant on your current life circumstances. Meaning, before buying a home you must do your homework and see if this life changing decision is currently the right decision for your situation.
When purchasing a home you must consider your work history, credit history, savings, and affordability. Some questions to consider:
• Have you had steady income in the past two years, and if you haven’t what has caused your employment to not be steady?
• Has your income fluctuated, and why?
• Do you have a history in paying your bills on time?
• Have you defaulted on loans previously?
• What does your credit report show, is it favorable?
• Do you have a savings account, and how much have you saved?
• Can you afford a mortgage at the present time?
After considering the questions above, remember that you must consider added cost as a home owner. Homeowner’s Insurance, private mortgage insurance, home association fees, property tax, and maintenance and improvement cost are added expenses for many home owners. Are these cost that you will be able to afford as a new home owner?
After reviewing the information I have listed you should know if today is the right time for you to act on purchasing your first home. Is today the right time for you to be a first time home owner or is it best in your personal situation to continue to rent a home? Please share by commenting how you are ready to buy a home or how you could better prepare yourself to purchase your first home. Others can better prepare themselves in buying their first home by learning from the information I provided and by your personal examples shared.