Buying a new home is an important financial commitment to make. A lot of mortgages include payment plans that often exceed 20 years of regular payments. Understanding what you want out of a new home is crucial so that you do not get tied up in a property you find yourself hating. This can be especially difficult for first-time buyers, as they may not yet have a strong understanding of what they want out of their new home. We will provide some advice for those of you looking to buy a starter home.
Affording your Home
Sometimes first-time buyers will shop for a home based off of how much they could borrow based on a preapproved mortgage they received from a lender. This can give them the false sense that they should look for a home priced around the maximum amount they can borrow. This is not necessarily a good idea, as there are more costs associated with purchasing a house than just the mortgage payments, and you may find yourself struggling financially.
You should understand that there is a difference between how much you qualify for in a mortgage, and how much you can actually afford, and you should prioritize how much you can afford first.
Buying a starter home is a long term commitment, Because of this, you need to be thinking about what you will want in the distant future. Not doing so can be a costly error if you decide the home you purchased is no longer what you want only a few years after acquiring it.
You should take a lot of future factors before making a decision on the home you want. Major life changes such as marriage, having children, and a shift in careers could all drastically change what you want out of your starter home.
Understanding yourself as a person and what you want out of life is another important part of deciding what you want out of a starter home. Maybe you spend most of your time traveling, and you do not want to invest a lot of money into an expensive home you barely live in. Maybe you love life in the city and want a home as close as possible to your favorite urban locales.
Once you know where you want your home based on your lifestyle, you should also take time considering what you want out of the house itself. Do you like a big yard with lots of room for gardening? Do you like an open concept home? Do you only want a couple bedrooms, or would you like a lot to support your growing family?
You do not want to purchase a home and regret your investment because you did not have a strong enough understanding of how it would affect your lifestyle.