3 Questions to Ask Yourself Before Buying Your First Home

Buying a home is the biggest purchase that most people will make in their lifetimes. That’s why research and reflection are key. You’ll only be able to find the home that’s right for you if you know exactly what “right for you” means. At the end of the day, you’re the only person who truly knows what your needs are.

So before you start the hunt for your new home, ask yourself these three questions in order to drill down to what it is you really want.

1. What made you want to own a home?

Forget finances for a minute and focus on what made you consider even buying a home in the first place. Is your family expanding? Are you looking for a safer neighborhood? Is there a particular school system you’re after? Is it just that you can’t stand having a landlord anymore?

There are no wrong answers here. The only goal is to get clarity into what’s driving you to buy a home so that you can make sure your new place has everything you’re looking for.

2. What does the future of the real estate market look like?

Unfortunately for buyers, things have been going up, up, and up. According to the 2017 Existing Homes Sales Report from the National Association of Realtors, the average price of homes in May 2017 went up 5.8% from 2016.

If you wait until next year to buy, you might find yourself scraping for change in the cushions to cover closing costs. Not only will it cost you more to buy, but you will also need to increase your down payment to account for the higher price of the home.

That said, there’s no reason to rush until you’re ready. Jumping the gun on a place that isn’t right for you in order to save a couple thousand dollars is going to cost you much more in stress and unhappiness in the future. The key is to use the information available to you in order to make the best buying decision for you.

3. What does the future look like for mortgage interest rates?

Unless you’re buying in cash, you’ll want to consider mortgage interest rates. Whatever rate you get locked in at now will follow you for the rest of your mortgage, which is often decades. The Mortgage Bankers Association and the National Association of Realtors have projected that mortgage interest rates will increase over the next 12 months.

If answering these questions has left you certain that buying a home is right for you, contact us to find the perfect high rise for you and your family