5 Questions You Need to Ask Yourself Before Purchasing a Home
So you’re thinking of buying a home. That’s great! Now before you start telling everyone about your plan, take time out to ponder this decision by yourself. There are many factors that go into this decision. Buying a home will most likely be the biggest purchase of your life. To make this decision to buy a little easier, we put together a list of 5 questions you should be asking yourself. So are you truly ready to buy a home?
What Is My Goal?
Many folks go into the home buying process because they feel pressured into buying a home. Do you feel obligated by society’s standards to buy a home or do you have a goal in mind. If your answer is the later then great. It’s always good to have a goal in mind. Whether it’s building equity, using it as a stepping stone to buy more real estate, or to settle down and plant your roots.
Do I Fully Understand The Home Buying Process?
Don’t let the TV shows fool you. Buying a home is not as easy as watching House Hunters. The process can be stressful at times and overwhelming for buyers that are not prepared. It’s important to sit down with a real estate professional and have them walk you through the process of buying a home. From the pre-approval process to the negotiations and inspections down to the closing table. It’s a rewarding process but it can also be very taxing on a person that is ill prepared.
Where do I see Myself in 5-10 Years?
Depending on the stage of your life or lifestyle buying a home may not be the best solution, especially if you are thinking of relocating. If you are looking to unload in 5 to 10 years, you must understand the market may not be the same. For instance you may have purchased during a sellers market where homes were flying off the shelves. However, it may not be the same case. You may have a tough time selling your home in a buyers market or get less than expected. So being prepared with a 5-10 year plan is important.
Where Do I Want to Buy?
Location, location, location. Are you looking for an established area or up and coming? Understand where you are buying because you don’t want to be stuck with a great home in a an undesirable neighborhood. Also take into consideration commuting times for work and school. Perhaps you would prefer to live near public transportation to cut down on travel costs. These are all things you should be thinking about prior to the process. It will save you time when you finally sit down with an agent so that he or she doesn’t have to whittle your options down for you.
Do I Understand The Costs Associated With Owning a Home?
Renting can be a sweet deal for many. As a renter your only concern is paying on time and the landlord takes care of things such as maintenance, upkeep, taxes, and the mechanics of the home. However, as a buyer you are the landlord to costly things can surface such as having to get a new hot water heater, fixing HVAV system, replacing the roof, etc. It’s always a great idea to have money set aside for these types of costly situations. So you must ask yourself. are you ready to take on those cost of home ownership.