To buy or not to buy, that is the tough question many renters contend with for years when thinking of home ownership. The fact is there isn’t a magical alarm to let you know that it’s time.
Purchasing a home is a huge financial decision, and it’s perfectly okay to spend time evaluating whether it’s the thing for you or not. But, if you notice any of the following things, then it’s time to make a move.
You’ve accumulated enough savings
Chances are you’re going to look for financing to purchase your home. If you can prove that you have the discipline to save, then lenders will be willing to help you out. So, as you plan to view a few Richland homes for sale at Retter & Company Sutherby’s International Realty, make sure you’ve set aside a down payment of ideally 20%. If not, then at least have enough saved for private mortgage insurance. Keep in mind that you’ll need to pay for other closing costs too.
You’re paying more rent than a mortgage would cost
If, after doing your research on rents it’s clear that your rent is just as much as or higher than mortgage installments, then it makes more sense to consider homeownership. Of course, you’ll have to come up with a higher sum for the down payment, but by buying you are putting all those housing costs towards building equity for your own home.
You can get an excellent rate
When you have built a healthy credit score and can show that you are financially responsible enough to repay your mortgage, then lenders will be willing to offer you very friendly rates. That means that you get to pay less in terms of interest during the life of the mortgage and can now make the leap.
Knowing the right time to buy a home is essential as you make this massive move. Ultimately, the decision must be based on, above all else, your current financial situation.