Many people look at their house as an asset and not just a place to live.
It is indeed one of the biggest investments that an individual makes in their lives.
You don’t just decide on buying a house when you want to, it is a lifetime decision for many and requires careful planning.
Here we will let you explore your options and help you figure out if it is the right time for you to make this investment or not.
Many people believe that once they are married only then can, they start to think about having a house. This is not true however; as you can also register as co-owners with the title “joint tenants” or “tenants in common” of the house.
This way, you both will be paying separately for the house even if you are not married. But it is still best to wait until after you are married to purchase the house. This will help decrease the chance of you breaking up and then having difficulty in paying your mortgage.
Usually, people like to buy houses after they have had children but it is best if you unanimously decide upon buying a house before you plan for kids. When you are buying a house, you are shifting into a new neighborhood. This means that your child will have to adapt to change.
While change is good, it is best that the child is in one locality, as too much shifting might leave your child with no long term friends. Moreover, your child will be more secure in a home which is owned by you, rather than a rental.
Purchasing a property means that you are investing all your savings in that house. You must be absolutely positive about your decision. Maybe you have a baby coming your way, or an important job-related decision, which may include a promotion or you switching jobs. These things might hinder your decision-making process. If there is any doubt arising in your mind, making you feel that this is not the right time to spend your savings, then reconsider your decision.
Whatever your savings may be; be sure to talk about all your money with your partner. Make sure that you have the consent of your significant other before you make any decisions. Also if you want to combine all your money assets in buying your new home; it is better. This way you can share the burden of the payment and make a better investment as well.
It is also important to note that all your previous student loans have been cleared. Furthermore, your credit card score should be good as well because it ultimately determines your eligibility for a loan.
Weighing in your options:
People who rent may have to pay up less than the mortgage rates set up for the homeowners, but in the long run, renters do not have the advantage of owning the home they are paying for. Homeowners, on the other hand, have the advantage of owning the home after a few years of payment. This affects them financially, later on, allowing them to have more savings when their mortgage is completely paid.
Choosing the locality:
Look around for the places that you would want to live in and around. Surroundings have a great impact on your well-being and state of mind and it is important that you take this decision wisely. See all the things that you would want to have close access to. These places could be a hospital, or your workplace, a school or even supermarkets. These little details might look mundane when deciding an area, but when you start living in that locality, all of these facilities will matter immensely. Therefore it is recommended that you put into account all of the mentioned places before reaching a final verdict.
Your neighborhood is also something that you should consider before reaching on a decision. How are the people who live there? There may be a higher crime rate in that area or maybe some water and electricity supply problems. Do your research before deciding on your dream house.
Make sure that when you are buying the house it is the ideal time for you to buy a house. The market is right in that year or locality and you are not making a bad decision in your haste. The real estate market keeps changing.
It doesn’t change drastically but you still don’t want to be making a bad investment and ending up buying property that has a poor resale value. Therefore it is crucial that you talk to your estate agent before you bid a price to them.
Make sure that when you are purchasing a house, you plan on staying in it for a long time. There is no worse way to drain your money than to spend it on a house that you don’t plan on staying even before the mortgage is completed. So when you finally reach your decision of buying a house, make sure that you are planning on to commit to it for a minimum of five years.
If you plan on expanding your family too, then make sure that you have enough room to accommodate your new family members. You must look for a house that meets all your demands and does justice to the criteria that you have established and not opt to change houses often.
When you are planning to buy a home, don’t buy it based on intuition or emotional pressure. Sure your other friends might be moving to their own place. But make sure that you are making your decision on what you think is right for you and your family, instead of proving to your peers, that you too are successful. Be happy with your decision and figure out what is better for your family at the moment.
Your choices have the power to shape you and your family’s lives. You have a big decision to make for all of you. This is a great responsibility that you are shouldering and you wouldn’t want to fall short of the expectations from your family.