Investing in your first home is an exciting adventure for anyone. However, it is also one of the biggest decisions you will ever make in your life and sometimes, between all of the choices and the overwhelming idea of taking on a mortgage, it is easy to see your better judgement become a little hazy. If you want to make sure that the home that you end up with is the best decision, there are questions that you need to be asking yourself. Here are three questions every first-time home buyer needs to know the answer to before they commit to a mortgage with a new home.
Will this home grow with your family?
If you are a newlywed couple just starting out, you must consider the size of your future family before buying a home. It is always a good idea to look for flexibility in your first home so that it can grow and change with your family at least somewhat. The last thing you want is to invest in a small one-bedroom house only to find you are overcrowded after children in the next year or so.
Is now the best time to buy instead of rent?
Before you commit to a mortgage, make sure that buying a home now is in your best financial interest. There are a few things that you should be considering when it comes to making this decision, such as
- Do you have stable employment for the long term?
- Will a monthly mortgage payment leave you with enough money for the rest of your household bills?
- Do you plan to stay where you are in the foreseeable future?
If the answer to any of these questions is no, now may not be the best time to buy your first home and renting may be the better option temporarily.
Are there home ownership grants or aid that could help you with the first home purchase?
If you are investing in your very first home, there could be programs that you could take advantage of that will help you keep mortgage costs as low as possible. For example, some people may qualify for a homeownership grant if they are a single parent.
Asking the right questions before you buy your first home is the best way to be sure you are going to be making a sound decision. If you are having doubts, be sure to talk to a mortgage counselor like Doolin Security Savings Bank for more information.