Are You Ready for Home Ownership?
Becoming a home owner may be your dream, but in order to ensure that your home purchase is an enjoyable and satisfying experience, you need to 100% ready for both financial and mentally ready for the responsibilities that come with home ownership.
Some people, especially first-time home buyers, have the perception owning a home is much like renting, but with the benefits of being able to paint whatever you want with whatever color you want and have any and all the pets you want. While this is true in most communities, being a home owner also means being responsible for a mortgage, property taxes, and home maintenance and repairs. So, in order to be fully prepared for home owner ship, it’s absolutely critical that you ensure that finances and your expectations are in check!
Questions Prospective Homeowners Should Ask Themselves
Are you ready to buy a home?
Owning a home is more than just being able to add your furniture and decorating to meet your personal style. It’s also about being informed and prepared to maintain and repair your home as it requires, because eventually the hot water tank, the furnace, or the roof will need to be replaced. You must remember to set aside a portion of your income for these large ticket items. Don’t forget, home ownership is about weighing the risks and having a realistic expectation of the rewards. That means if you don’t want to replace the big-ticket items right away, look at homes that already have had them replaced.
How much can you really afford?
It can be so discouraging for a home buyer when they find a home that is everything that they need, only to be told by the bank that their income doesn’t meet their financial needs in order to purchase the home. On the reverse side of this, sacrificing too much of your income to pay for your home isn’t right either, as being house broke turns into more of a burden as opposed the joy it should be. Remember that it’s always better to purchase a modest home for now, build your equity with this property, and then a few years down the road buy the home of your dreams!
What’s your debt-to-income ratio?
It’s very important to keep in mind that lenders take the amount of debt payments you have very seriously. Your optimal overall debt ratio should be 40% of your total income, and in that your housing debt shouldn’t be more than 32%. Now, what exactly 32% of your income will allow you to purchase greatly depends on where and what you’re purchasing. If you’re buying a small home in a modestly priced neighbourhood, then you can get a very nice home. However, if you’re buying a condo with high monthly condo fees ($400 - $600) or a home in a higher priced affluent neighbourhood then your income will not get you what you want.
What do you really want in your home?
How many bedrooms and bathrooms do you need? Do you want a big yard for the kids to run around, or no yard work at all? Are you ok with the idea of cleaning out your rain gutters in the fall, or does that make you shudder? Would you prefer to have the monthly condo fees, or can’t stand the thought of those ever-increasing fees? Are you alright with being restricted by the condo associations rules and regulations on what you can and can’t do, or do you like your freedom to do what you want where you want?
By answering these simple questions and more will help you narrow down your home search to include properties that meet your lifestyle, your wants, and your needs.
How can Paulo Da Silva help you with your home search?
You need a great REALTOR® that will not only work hard for you, but one who is loyal. Paulo Da Silva Real Estate offers you Loyalty! I know that the most valuable asset that I have is my time. And although I am generous with mine, it is not in my business model to not waste yours. You are sure to be impressed with my intuition, creative problem solving and efficient work manner.
A true Go-Giver! My genuine kindness and magnetic personality are natural assets that help separate me from the rest. I take great pride in being well educated and ambitious, coupled with a continuous thirst for knowledge. Once you get to know me, you’ll understand the true value that I can and want to offer YOU!
Have any questions? Awesome! They’re my favourite. Let me know! I am will and eager to work for YOU!
Home Search Tools
- Start Your Home Search Right Now: Use this search tool to explore a wide variety homes including single-family, duplexes and condominiums on the market today.
- Learn More About Edmonton and Surrounding Communities: Explore the benefits and the features of various communities and neighbourhoods.
- Register for the Home Finder: Let me help you set up you search so your dream home come to you. My guests can also create saved searches, save their favourite properties and receive instant email alerts when new homes come on to the market that match their criteria.
- My Home Search App: You will love how easy it is to search for homes from your cell phone using my Free Home Search App.
What Buyers Really Need to Know
- Questions That Are a Must Before Hiring a REALTOR®
- The Costs Associated With Buying a Home
- The Different Types Real Estate Relationships
- My Home Buyers Consultation
- Mortgage Calculator
Tips for First Time Home Buyers
- Ten Big Mistakes First Time Home Buyer Should Avoid