Buying a home is an important financial decision and one of the biggest life decisions that you’ll make. It is also likely to be one of your largest investments.
Are you ready?
Ask yourself these questions and be honest with yourself when you think about the answers.
The Right Time and Place
- Is this the right time for you personally?
- Are you in a financially secure and stable work environment?
- Do you like the area in which you’re living?
While spring and summer tend to offer the most housing options, don’t rush into buying this Summer if you’re not quite ready.
- How is your credit?
- re you recovering from bankruptcy?
- Do you have large amounts of student loan debt (which cannot be forgiven even if you do declare bankruptcy)?
Mortgages are nearly impossible to get if you have been bankrupt within the past 3-5 years. Fortunately, there are many ways to improve your credit. Take time to find out your credit score and rating, and talk to a trusted banking partner about concrete steps you can take to increase your credit score and rating. It is often better to work on fixing the issues with your credit rating, rather than trying to find a work-around.
- How much house do you need?
- How much can you afford monthly and how much are you willing to borrow?
Consider to buy your first home in perth. Bowen Agency Realtors can help you with this, and we can also help manage your expectations about your wish list and what you might actually be able to afford.
- Have you saved for a down payment?
- Have you adequately saved for closing costs, homeowners insurance, property taxes, and other items that come up after purchasing the home?
If you haven’t saved anything for a down payment, that’s where you need to start. If you don’t have a down payment, would friends or family be willing to offer you a loan? If the answer is no, then now is not a good time for you to buy.
A few more tips:
For a purchase of this magnitude, it makes sense to shop around for the best mortgage rate available. Most buyers will be looking for a 30-year mortgage, and local banks, national banks, and credit unions can all offer competitive rates.
Don’t Forget About the Holiday Season
Christmas time can be a great time to make an offer for a property, because sellers tend to be more flexible and may be more generous. Fewer people are likely to be looking at properties over the holidays because they are focused on other things, so you could benefit from having no competition for your dream home.
If you’re ready to buy a home, give us a call or stop by one of our three convenient locations (Lewisburg, Sunbury, Selinsgrove). We look forward to serving you!