In the 4th quarter of 2020, there were 82.8 million owner-occupied homes in the US. This meant that the number of homeowners increased by over 2 million when compared to 2019!
If you’re considering joining the ranks, then you’ll want to go about your purchase carefully. It’s a huge financial commitment, after all!
To help you out, here are 3 things to consider when buying a house.
Figure Out Your Budget
You might think ballparking your budget in a few seconds is good enough. But think again!
Ask anyone who’s bought a house before and they’ll tell you that they went over-budget rather than under. So if you can only truly afford around $300,000 for a house and you ballpark your budget around $280,000 to $310,000, chances are, the house your heart desires will cost much more.
When it comes to tips for buying a house, a great one is to figure out your debt-to-income ratio. Just divide your monthly expenses by your income, then multiply by 100. Anything under 30% is good, especially if you need a mortgage.
Try Unconventional Routes
Trying to find a home on the market that you can buy can be tough sometimes. Prime property tends to go quickly and you have to outbid numerous other people as well.
One of our best house buying tips is to try unconventional routes.
For example, check “we buy houses” companies. They’ll usually buy homes as-is, fix them up, and sell them for very affordable prices. Not only that, but they’ll also have low down payments and financing options, so if you’re struggling to pull together money for a regular purchase, this can be a fantastic alternative!
Get Help From a Real Estate Agent
Getting a real estate agent will cost you extra, but we promise it’s worth every penny. This is especially true if you’re a first-time homebuyer and have no clue what you’re getting into!
Your dedicated agent will sit down with you, discuss your needs and budget, and then find the houses that suit you best. They’ll then schedule tours for you and go through these properties with you to ensure you’re making a smart purchase. Not only that, they’ll help you stay on top of all the paperwork and payments needed for you to buy a house.
In the end, paying a little extra for some peace of mind can be well worth decreasing your anxiety. Not to mention, it can help you get your dream home fast!
Good Luck on Buying a House
Buying a house is a huge step forward and it’s no easy feat. If you’ve saved up enough to get this far, then most of the hard work is done!
So long as you keep our advice in mind, buying a home shouldn’t be too difficult. Plus, you’re sure to get the most bang for your buck!
Want to learn more about how to buy a house? Then take a look at our other blog posts now!