Home ownership is a really exciting endeavor. After watching enticing shows about the home-buying process, decorating, landscaping and flipping for profit, lots of people are eager to get their hands dirty in the home-buying process. Granted, many people don't take into consideration that shows are edited on TV for thirty minutes of entertainment. So, once they're knee-deep in paperwork, bills and lost hope, the home-buying goal seems a little too far-fetched. The best way to handle this type of goal is by asking the right questions and doing intelligent research. Consider these few factors when you'd like to start the journey toward home ownership.
1. Is there enough money in my savings account?
In this mass consumption-based society, savings may not be a strong suite for many. However, when it is time to purchase a home, maintaining a hefty amount in savings is significant. For a home purchase, it is best to put down at least 10-20% for the downpayment. There are lots of programs for first time home buyers where only 5% is needed to get the process started. However, it is much better to have more cash flow than needed to prepare for any hiccups down the road.
2. Is this in my price range?
There are some people who go by a certain rule which says that if they can't buy it twice, they can't afford it. Just because
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Have housing values appreciated over time? What is the likelihood of earning a profit when you might want to sell in 20 years? Is this an up and coming area that will continue to attract stable homebuyers? These types of questions are very important because this purchase involves hundreds of thousands of dollars. It is an incredibly large investment. Next to an education, home ownership is probably one of the most expensive purchases a person will make in their lifetime. Because of this, it is imperative to study the market and make an educated decision prior to