Many people start as renters before buying homes. However, not everyone knows when to jump from being a renter to being a homeowner. Below are three things that mean you are ready for homeownership.
1. You Know Where You Want to Live
One of the premier benefits of renting is that you can change houses or cities more often than renters. That is a big plus to those who haven't identified their forever neighborhoods. Frequent moves are not good for homeowners. Thus, you know you are ready to purchase a home if you have identified a suitable place and neighborhood and can picture yourself living there for the rest of your life.
Say you have a stable job in a certain city and set your sights on growing your career in the same company; it makes sense to buy a house in the area. Or maybe you have a young family and have identified an area with the right parameters, such as a great school district to raise the family. Again, buying a home in such a place is a no-brainer.
2. You Want to Customize Your Home
One problem you are likely to face as a tenant is the inability to customize your house as you wish. Few people find homes that match their needs and preferences to the letter. A landlord may allow cosmetic changes here and there, but true customization is impossible in a rented place.
Buy a home if you have set your sight on a particular architecture, layout, or floorplan. That way, you can make all the changes in the world as long as they are code compliant. For example, you can knock down some walls, replace the roof, or even add a room to your home after purchase.
3. You Can Afford Home Purchase and Ownership
The above two points are good, but you need good finances to buy a home. Therefore, you know you are ready to buy a home if you can afford its purchase and maintenance. That means that:
- You have the down payment
- You have money for closing costs
- You qualify for a mortgage or have the cash for an outright purchase
- You have a stable income that can help you maintain the house (think regular maintenance, property taxes, and utilities)
Evaluate your finances to confirm how much you can afford to spend on the property purchase.
Talk to a residential realtor to help you evaluate your options, needs, and wants. That way, you can get a house you won't regret buying.Share