Making the decision to buy a home is a big one—and you want to make sure you’re ready.
But how do you know when you’re ready to make the transition from renting to homeownership?
A recent article from realtor.com outlined key questions to ask yourself when you’re determining whether you should keep renting or make the jump to homeownership, including:
- Do I have enough savings to cover closing costs? If you’re considering buying a home, chances are, you have enough saved up for a down payment. But before you make the decision to buy, you’ll also need to make sure you have enough saved to cover all the closing costs associated with buying a home (like the appraisal and inspection).
- How long do I plan to stay in the property? Ultimately, you want buying a home to be a smart investment; you don’t want to lose money. And in order to not lose money on the deal, you typically need to stay put for two to three years—so make sure you’re willing to settle in for at least a few years before you buy.
- Are you prepared for maintenance? When you rent, your landlord takes care of home maintenance—but when you buy, that responsibility falls to you. Before you make the decision to buy your own home, make sure you’re ready to tackle all the home maintenance projects—and costs—that come with owning property.
The Takeaway:
Bottom line? You want to make sure that, when you buy a home, you’re ready—and asking yourself these questions can help you gauge how prepared you are to make the transition
