It’s the time of year when many people are out buying homes. Are you feeling the pressure to do so? How can you know if you’re really ready to buy a home or just feeling pressure to do so?
Here are some ways you can know if it’s the right time for you.
What do your finances look like? Are you in a lot of debt? Do you have any money in savings? How does your credit look?
These are all important questions to consider when you’re looking to buy a home. If you’re credit is suffering, you’re in a lot of debt and/or you don’t have any money in savings, you may want to consider waiting a little bit to buy a home.
Savings: To buy a home you should have a decent amount of money you can put toward a down payment. Because of this, you’ll want a stack of cash put away.
Credit: Getting pre-qualified for a loan requires that you have good credit. Unless you’re planning on buying a home in all cash, you should probably take some time fixing up your credit.
Debt: I know that most of you probably have some or a lot of debt. This doesn’t mean that you can’t buy a home. Just make sure that you plan your monthly expenses accordingly. Can you afford a mortgage, regular living expenses and those minimum payments?
Take all of these into consideration before you decide to buy a home.
Don’t have enough money for a down payment, but still feel you’re ready to buy a home, see these options for you! CLICK HERE
What is your work situation? Do you have a secure job? Do you have a steady, reliable income? How long have you been at your job?
Again, these are important things to know before you decide to buy.
If you don’t have a job, or you only have random income opportunities here and there, it may be difficult to get pre-qualified for a loan. It could also be difficult to pay a mortgage each month. You want a reliable income that you can plan on.
If you just started your job this year, you may need to wait a little bit before buying a home. In order to qualify for a loan, lenders like to see that you’ve been at your job for awhile (about 2 years). This proves reliable occupation and income. If you haven’t quite reached the two year mark, lenders may still be able to work with you depending on your situation and if it’s close to two years.
Before you decide to buy a home, have an idea of what your plan is. Do you know what you’re looking for in a home? (How big, location, etc.) If you don’t, you probably should. You don’t have to know exactly what you want, but having a general idea is important.
Are you planning to be in the same area for awhile? If your job moves a lot, or if you may be moving in the next two or three years, renting may be a better option for you. Buying a home is a long-time investment. So, if you’re not planning on being there for awhile, it may not be the best option for you.
And don’t worry if you don’t end up staying in the same place for long. It’s not a bad thing to purchase a home and only be there for a little bit. It depends on what you want and what you’re looking for.
Feel like it’s time for you to buy? We can help you find your dream home!
Call/text us today! 480-373-8755
See some more tips for making sure you’re ready to buy with this Trulia article.
If you want to learn about some financing options, or if you’re looking to get pre-qualified, contact Parker Turk at Sun American Mortgage Company: 602-616-3774.