Think you’re ready to purchase your own home? For most, home ownership is among the most important – and most expensive – responsibilities they’ll ever have. So it’s crucial to be sure you’re prepared for this long-term commitment. Here is a checklist of assertions you should feel confident making when you start shopping for a home:
- I have enough cash in my bank account to afford a down payment and closing costs on a home. Alternatively, I am aware that it’s possible to qualify for a loan with a 3-3.5 percent down payment and may be able to get the seller to agree to add a concession for closing costs.
- I have a stable job with steady income and can afford the ongoing costs of owning a home, including my monthly mortgage payments, taxes and ongoing maintenance expenses in addition to my other living expenses.
- My credit rating is satisfactory, I have a minimum amount of debt, and I always pay my bills on time.
- My primary reason for wanting to own real estate is to build up my own equity. I do not want to pay rent that will only serve to grow my landlord’s equity.
- My plan is to reside in the city where I am looking to purchase a home for at least five years.
- I have fully researched the housing market in my target area and am in touch with a real estate agent who has considerable knowledge and experience in this area.
- I have a savings account or insurance policy that will enable me to make ends meet in the event of an accident, illness, or job loss.
- I understand and am prepared to accept the risks involved in investing in real estate.
If you were able to check off most of these, congratulations! You’re well on your way to owning a piece of the American Dream.
If you have questions about purchasing a home, one of our home loan experts would be happy to help you get started. Call Cliffco Mortgage Bankers at (516) 408-7300 or contact us by filling out the form here.