As exciting as homeownership can be, the question of whether you are financially and emotionally ready to make a life-changing decision is important.
It’s important to figure out how much you will be able to afford when purchasing your first home. Affordability doesn't necessarily mean just your monthly mortgage payment. Have your considered the other upfront costs such as a down payment and closing costs? There are also the ongoing costs which include monthly utilities, propery taxes, and house repairs along the way. These need not be deterents to your decision, but these are definitely items to keep in mind when beginning your planning.
The best way to determine if you are ready to take the leap is to develop a basic Monthly Home Budget. Doing so will give you a better idea of what you can comfortably afford. Download our Home Budget template below, provided by one of our trusted Advantage Partners - Roost Mortgage. Additionally, we ave many real estate professionals at RE/MAX First who would be happy to walk through this process with you!
- DOWNLOADABLE HOME BUDGET
There's a reason why making the decision to purchase a home is often linked with "settling down." This doesn’t mean that owning a home suddenly forces all fun and spontaneity from your life, but there is a level of ‘commitment’ that is required. If you’re intending to buy, but still desiring to spend a year living abroad, it might be best to pursue your travel plans first before homeownership.
And let's just clarify... 'Settling down' as a new home owner doesn't mean that you must be married! Singles are perfectly capable of taking on homeownership if they are in a stable financial position. But, a word to the wise - if you are in a relationship and are planning to buy a property with this person, it is good to ask yourself if your relationship is ready for this next big step. A stable relationship is important, one that will support and be on board with the required teamwork of homeownership.