Buying your first home can be exciting and often overwhelming. Leaping to build your security and equity is no easy task. Instead continuing with one of the biggest financial decisions becomes too difficult if you are yet to attain eligibility. Rushing to buy a home within a short time is a big mistake as you need to think through the process of homebuying and ensure that you are well prepared for the task. The freedom of living in your dream home also comes with several obligations. What are the things you may expect when buying a home, you have dreamt of for years?
Here is how you qualify as a first-time homebuyer and invest in townhomes for sale Kelowna.
1.Do you have job security?
The economic expansion improves employment opportunities but that does not mean that you are well-settled with a job that guarantees security when buying a home. Not everyone is fortunate enough to work in big organizations that provide good salaries to sustain the payment of EMI for a long time. Considering the recessions that the world has endured in the past, job security is one of the most important things to consider when buying a home. You become eligible for buying a home only when you have tight job security. Make sure your employment status is sound before committing to EMI payment for a long time. If you do not want to ruin the prospects of buying a home, make sure you are not unemployed soon after purchasing your first home.
2.What is your duration of stay?
The priorities of modern-day homeowners have changed drastically than what it was in the past. Talk to a Kelowna home builder of repute and get meaningful insights about buying a home for the first time. One of the most overlooked aspects when deciding to buy the first home is the duration for which you need to stay there. The market trends change faster than you take to decide. On average, it takes about four to seven years to break even on your first home, and expect to get rewarded against the cost of ownership and transaction. If you buy a home and plan to sell it within two years, it is not worth investing a huge amount of money.
3.Can you afford the down payment?
One of the greatest concerns of first-time homeowners investing in new housing developments Kelowna is how affordable is the down payment. For millennials, saving a lump sum amount is difficult. There may be various other aspects of why people may drop out when making down payments. Find out what moves can make homebuying more affordable for buyers. As a rule, you need to make about 20% of the down payment on a home purchase. You can also buy with less but it will not work to your advantage for a long time.
4.Can you manage the mortgage payments?
Whether it is due to the high process of homes or your dream home being put up for sale suddenly, buyers are often tempted to invest in houses more than they can afford. So, make sure that the monthly mortgage payment does not leave you strapped for cash. If you need to pay about 30% of your monthly income against the mortgage, you are not yet qualified to invest in a home.
5.What are the local market indicators?
It might seem frustrating but one of the biggest obstacles to buying a home is when you have no control over the local market. For instance, the market in which you are keen to invest may not have adequate houses available. The good news is that a reputed Kelowna home builder recommends that it may not be justifiable to invest in some markets, but it is good to explore the rest. While you need to study the interest rates, you need to invest when the market conditions are appropriate.
6.What is the scenario of supply and demand?
Home prices have been appreciating once again and several buyers may find it difficult to grab the property within their reach. Several homeowners are opting out of buying custom homes, especially first-time buyers.
Buying a house introduces more financial burdens than what meets the eye. While you need to consider the home prices during the first buy, make sure you have the budget needed to maintain the basic monthly expenses. Research the options well in Kelowna and talk to Dilworth Quality Homes Inc, one of the custom home builders in Kelowna before committing to buying a home where you can live happily and save on your monthly expenses.