FB

You’re Ready to Buy a Home If

You’re Ready to Buy a Home If

You’re Ready to Buy a Home IfAre income taxes burning a hole through your wallet? Are you just fed up with renting; paying monthly to some landlord for something that isn’t even yours? Plan to stay in a community for at least five years? Well, buying a home could be a feasible option for you to consider.

But wait, are you overwhelmed at the thought of committing to a home? Does the thought of committing to a community, a mortgage payment and a property for at least five years make you cringe?  If it does, then buying a home right now may not be a feasible option for you. No matter how you feel about buying a home right now, I think we can all agree that buying your first home takes determination, desire and a willingness to commit not just to get though the actual buying process, but to also to be a responsible homeowner and get the most out of your investment.  So are you really,really ready to take that big step?

 Here are three signs you are ready to buy a home!

  1.      You Plan On Staying Put for a While

Short-term homeownership hardly ever make sense for most people. Even if your rent payment is cheaper than a mortgage would be, you still must account for the rest of the costs that come along with home ownership. The costs could include, but are not limited to a down payment (at least 10% is recommended), home maintenance and repair expenses, home association fees, and even moving fees. John Vento, a New York-based CFP and CPA, and author of Financial Independence (Getting to Point X): An Advisor’s Guide to Comprehensive Wealth Management recommends staying in your purchased home for at least seven years “because the transaction costs of buying a home are signification.” A while back, the rule was buying only really made sense if you planned to stay there for at least three to five years, but now financial planners are recommending a longer time frame.

 

  1.      The Housing Market Looks Great

Some people do not know that the real estate market actually varies by city, and even by neighborhood. Some cities within the U.S. have had home prices increase to near “boom-time highs,” but some cities are relatively affordable. Pay attention to the market where you would like to live to determine the best time to purchase for you.

 

  1.      My Finances Are in Order

 Very few people have the money to buy their homes cash, so financing to purchase your home is very likely. If you are having problems managing your money and paying your bill, buying your home right now may not be the best option for you. Before looking, have a serious talk with a mortgage financial so you can know where you stand and what your options are. PrimeWay Federal Credit Union has mortgage professionals available to discuss this with you, click here for more details.   

Still not sure if you are ready to buy your home, check out some more signs in the article below!

http://time.com/money/3012719/rent-or-buy-5-questions-to-ask/