Buying a Home In Your 20’s

The Five Crucial Steps to Purchasing a Home in Your Twenties

Many of the younger generation are thinking about buying their own homes. If you are considering this and you’re not sure where to start, this post is for you. We’ll talk about the five essential steps you should take to buy your first home successfully.

• Step 1 – Make Sure You’re Ready to Commit Fully. Purchasing your home will be one of the biggest commitments of your life. However, if you are like most millennials, you appreciate having the freedom to move about, switching your job, location, or even your career direction every couple of years. Once you buy your home, you should be committed to staying at least five years. This will allow you to pay down some of your mortgage.

• Step 2 – Get a Good Understanding of Your Financial Situation. To buy your home, you have to have a good understanding of your current financial status. You have to factor in your current bills, spending habits, credit history, and savings. You want to know exactly how much money is going out each month, how much is coming in, and how much you have left over. You’ll have to budget for your mortgage, insurance, property taxes, and inspection fees as well.
• Step 3 – Look at Your Credit and Savings. By your mid-twenties, you should have some credit history established. Your potential lender will check your payment history and your credit score to determine your mortgage cost. The higher your credit score is, the better rate you’ll get. You want a healthy savings amount established as well because you’ll need cash up front for emergencies and miscellaneous expenses.
• Step 4 – Choose a Lender and Get Pre-Approval. Shop around with several lenders until you find the one that will give you the best rate and that you are likely to qualify with. For example, specialist lenders tend to have more lenient lending policies than traditional banks will, but they also charge higher rates. You may also be eligible for a First Time Home Buyers Grant or Housing Rebate. Once you’ve picked one, get pre-approved. This way you’ll know how much you can afford.
• Step 5 – Choose a Trusted Real Estate Agent. Your real estate agent should be licensed and have a good understanding of the market trends and area that you want to buy your home in. They’ll help you make a list of things you need your new home to have, and things you want your new home to have. Finally, they can search and show you homes in your selected area, help negotiate closing costs, and work with you until you have the keys to your new home.

If you’re in your twenties and considering purchasing your first home, follow these steps. The less you leave up to chance, the better the entire process will go. Once you’ve reviewed these tips, contact me to get your home buying process started today!

Categorised in: Buyers, Kamloops, Real Estate

This post was written by kamloopshomesearchcom