You have been saving for that down payment, and you are ever so eager to purchase your house. Every first-time buyer has been in that situation. However, there are numerous things you need to carefully consider before going the extra mile and clicking buy.
Can you really afford it?
Don't buy the home you think you can afford tomorrow, but buy the home you know you can afford today. Evaluate your finances and make sure you can stump up that down payment without any problems. Ensure that you have a steady source of income that allows you to pay the mortgage without any issues. As a thumb rule, you shouldn't be spending more than one-third of your monthly income for a mortgage payment. Find out how much you'll be paying after interest and decide accordingly.
Don't be rushed into it
It is the job of realtors and sellers to persuade you into purchasing a particular house. However, don't allow anyone to rush you or pressure you into making a purchase unless you are financially ready. Consider the advice of the realtor carefully, but don't allow your realtor to make your decision for you. Purchasing your home will have a huge impact on your financial health and your quality of life. Hence, you need to carefully consider all aspects before making the purchase.
Search, search, and search
Extensively search for available houses before deciding on a home. Compare the prices of the houses in the area you are looking at to ensure that the listed price is reasonable and right. Take your time and explore each house thoroughly before you even consider making an offer. While there is something such as too much research, it pays to be thorough. Ensure that you are able to hire a good, professional agent who provides you with valuable advice without overtly pressuring you to make a decision.
A home is a long-term investment and a long-term mistake if you get it wrong. Buying a home at the wrong time or at a wrong price could be financially devastating, so foresight is incredibly important.