The last year has been rough in the real estate market. Fewer Americans are willing to buy homes in the current climate. But, that doesn’t mean you can’t.
It means you need to be absolutely sure you’re ready for it too.
Besides having your finances in order, you need to be emotionally ready as well. Owning property is a big commitment that many first time homeowners underestimate.
Are you asking yourself, “am I ready to buy a house?” Find out the answer by reading the signs that you are below.
You Don’t Want to Rent Anymore
Do you feel like you’re losing money every month when you pay rent? You’re essentially throwing money down the drain of a house you don’t even own.
When you own the house, your mortgage payments contribute to your ownership. It’s not wasted money.
For some people, renting makes sense because they aren’t ready to settle down. If you are, it may be time to become a first time home buyer.
You Have Steady Income
You can dream of owning a home all you want. If you can’t afford it, it’s not going to be easy.
Before you can browse the listings, ensure you have a steady income. That could mean working a few years at a company to be sure you can see yourself being there long-term. Or, saving up for an emergency fund in case you unexpectedly lose your job in the future.
If you can’t pay your mortgage every month, you aren’t ready to buy a home.
Your Credit Score Is Awesome
Banks will look at your credit score, among other factors, to determine your mortgage. If your credit score is bad, they might not even give you one.
You know you’re ready to buy a home when you consistently have a great credit score. To build yours, fully pay off your balance every month.
You’re Ready for Commitment
You can’t break a lease and move when you decide you don’t like the area anymore. When the neighbors are being noisy, there’s no landlord to complain to.
Owning your own home is a huge commitment. Not only financially, but emotionally and socially. You’re buying a spot in a community that can change over time.
Plus, keeping up a house can get expensive. Replacing the roof, maintaining the HVAC, and updating the amenities are all normal aspects of home ownership. Buying a home means committing to also paying for its upkeep.
So… Am I Ready to Buy a House?
If you read those questions and said “yes” to each one, you might be ready to buy your first home. But, there are many other things to consider before you buy.
Asking, “am I ready to buy a house?” isn’t just a financial question. It’s a question about your maturity level, responsibilities, and dreams for your life.
To get a better sense of what it means to own a home, check out the Home Improvement section of our blog.