You have two options: to buy or rent? Everyone is different & it's important to know which is the best option for your individual situation & what maybe best financially for your family. The decision to buy or rent is a very personal one that can only be determined after a careful evaluation of your situation. It's up to you to make the choice as to whether or not you are ready to make the move.
Why do People Rent ?
There are a number of reasons why someone may either choose or be forced to rent: Unpredictable income, a high debt-to-income ratio, a bankruptcy or foreclosure within the last few years, unpaid collection accounts or judgments, frequent relocating for employment or the inability to save enough money for a required down payment on the purchase of a home. ( 5%-10%)
When's a Good Time To Buy ?
Obviously when its a buyers market ! Thats a given but you must also consider your finances. Do you have steady income with a good employment history? Can you provide a down payment of at least 5%-10% of the purchase price? Are all current debts paid off or almost paid off. If you answered Yes to most of these questoins then its most definately time to consider buying a home instead of renting. When deciding to buy, job stability & relocation are huge factors. Do you plan to live in the home for at least 5-10 years? Yes then you may want to consider making the purchase.
Hidden Costs in a Home
Think about it before you purchase...you maybe surprised to find out that alot of unorganized buyers overlook these, especially if they do not have a good real estate agent helping & guiding them through the process. When you're just renting your paying a flat monthly charge or a few utilites. But most of the time some of those utilities are included. So hidden costs you need to consider are UTLITITIES (hydro, water & gas), INSURANCE (can be costly depending on the home you purchse & the area it is in), CITY TAXES (paid monthly, quarterly or yearly) So when calcuating your mortagage amount each month dont forget all these items. The number you think monthly could be double that!
Maintenance on your Home
As a homeowner, you & you alone will be responsible for any maintenance or repair issues that arise. This is a big consideration when choosing whether to rent or buy. When you rent, the property owner is responsible for repairs and it may not always be obvious that these issues can be VERY VERY COSTLY! What happens if your furance breaks over the winter? Do you have enough money saved in order to replace a $5000-$7000 furance to keep warm? Beacuse trust me you DO NOT want to rent one.
Home Buyer's Checklist
If you can answer YES to the following questions & you maybe ready for home ownership
Have you been steadily employed for at least one year, but preferably two years?
Do you plan to live in the home long enough to build equity?
Can you provide a down payment & still have enough money left to pay closing costs, utilities & home furnishings?
Are you current on all debts, including auto loans, credit cards, etc.?
Can you afford all your current debts + a mortgage payment & all those hidden costs mentioned above?
Have you checked your credit reports for inaccuracies and disputed anything that needs correction with each of the three major credit reporting agencies?
I will help you to find the perfect home based on your individual needs.
Just call today directly at 381-3937.