When you are shopping for or contemplating buying a property, you might have many questions that come to mind. Here are your answers to the burning questions that could be on your list.
Time to buy rather than rent?
Often people plan for the financial benefits that follow from purchasing a home instead of renting from a landlord. Some of the advantages of buying are that you have the option to do what you want with your home, whether that is decorating, tax incentives, and just the feeling of pride you could have from owning your space. You also gain financially and learn the advantages of investing.
Am I ready to buy?
Monetary comfort and employment stability are two important ideas that must be thought over before buying a house. Answer these questions:
- Is my work a secure and predictable job?
- Do I see myself in this dependable role for years?
- How blemished is my credit score?
- Am I timely when paying routine bills?
Will my credit score impair my capability to purchase a home?
Credit ratings are a quick look into your accounting history. It gives you a score derived a several factors, like how consistent you are at paying bills before they’re due, etc. Having a less than ideal credit score does not mean you can’t find financing to purchase a house, but it can mean that getting a mortgage will take longer than the usual.
How much cash do I save for the down payment?
Talking through all of your questions with your real estate agent is a great idea. For a down payment on a home, lenders estimate that a new buyer might have a down payment of 7%-20% of the full cost of the home. This is a factor that can change and is reliant upon the market conditions at the moment and term of the loan you request. Buying a home for the first time is an exciting experience, but it could also be stressful! Be sure to stay in contact with your real estate professional and your lender. Don’t settle on your first property purchase, find the one that is perfect for your family and make it yours!