“How do I know if I’m ready to buy a home?”
If this question has been on your mind, you’re in the right place. Making the leap from renting to owning is a major milestone in many people’s lives. While there are definite advantages to homeownership, just because you can buy a home doesn’t mean you should. If you’re wondering if now is the right time for you, here are some tell-tale signs that shows you’re ready to jump into homeownership.
Your finances are in order
Owning a home requires a lot of financial responsibility. Not only do you need to pay the mortgage each month, but you’ll also need to cover property taxes, insurance, homeowner’s association dues, home maintenance, and more.
While you don’t have to wait until you’re completely debt-free before buying, having little to no debt is favorable because it increases your available cash flow to cover the expenses of owning a home. Be sure you can easily handle your debt load and make efforts to pay off your debt as soon as possible.
Another factor to consider is your credit score. This three-digit number will determine whether or not you’ll qualify for financing and the interest rate of your loans (which can mean lower mortgage payments!). Make sure your credit score is its best before applying for loans.
You’re a solid renter
One of the best predictors of homeownership success is a good performance as a renter. If you haven’t had any problems paying your rent and utilities bills on time, chances are you’ll be able to manage your mortgage payment.
You’re ready to settle down
Another sign you’re ready to buy is that you’re ready to settle down for the foreseeable future – or at least the next five years. If you see yourself staying in the same area for your career or to start a family, buying a home could be the right decision for you.
You’re tired of renting
Renting can be exhausting; its rare when you find a space you can stay for several years. Most renters find themselves moving fairly frequently. As a renter, you’re also at the mercy of your landlord; if they decide to sell the property, you’re stuck looking for a new home.
You may be tired of paying increased rents, dealing with noisy neighbors or unresponsive landlords, or simply want more control over how your home looks. These are signs it may be time to consider homeownership.
You’re prepared to maintain a home
As a renter, the repairs are handled by someone else. But as the homeowner, you’ll be responsible for everything. Are you willing and able to handle home maintenance issues as they come up? Or can you afford paying someone else to make these repairs?
If these signs apply to you, then you may be ready to buy your first home! Take your time researching your market, meet with a real estate agent to guide you through the process, and start the search for your new home.
At Lexington Homes, we have new construction homes available for sale in the most desirable neighborhoods in Chicagoland. Get in touch when you’re ready to find your dream home.
