Is Now Still a Good Time to Buy a Home? The number one question I…
A new series on valuable planning for you before you start looking for a new home will come in handy with these market conditions. According to the National Association of Realtors, in August, 29% of home buyers were first-time home buyers. With an estimated 6 million U.S. consumers planning to buy a home between now and the end of 2015 it is a great step to get started on planning for it!
- Have you planned for Home-ownership?
Home buyers aren’t born overnight. The decision to buy a home is one that can take days, months, or even years. There is no “right” or “wrong” timetable for it. It will happen when the time is right.
Maybe you’ve outgrown your current home, or are moving to a new town, or like many, have found the rental contracts giving you the blues.
Just like home buyers aren’t born overnight, home buying doesn’t happen overnight either. You will need some time to plan ahead. Pre-home buyers should take a realistic look at their personal finances, as well as their goals for the future.
- Have you considered the costs of homeownership?
There’s more to owning a home than low mortgage rates and a “good deal”. Homeownership ongoing costs should be considered as a major factor when planning your finances. Although mortgage payments may be lower than comparable rental costs in many U.S. cities these ongoing costs can be easily overlooked.
Remember – homeowners with a mortgage are responsible for more than just the mortgage. Homeowners are also responsible for annual real estate taxes and, in some cases, annual or monthly assessments to a community such as Mello-Roos, or HOA fees.
Consider too, the costs of homeowners insurance can be higher than the cost of renters insurance.
A good rule of thumb is to expect annual maintenance costs to average approximately 1.5 % of your home’s value. A $200,000 home, therefore, will likely require $3,500 in annual upkeep.
More Must-Ask Questions Coming Soon…