How to Decide on Becoming a Homeowner

Do you dream of becoming a home owner? Do you often wonder what it will take to own your own home? Or, are you content with renting? Is your lifestyle and family life conducive to being a homeowner? What are your finances and credit like? Do you have the income it takes to support a home? Not being prepared could be a recipe for disaster. All of these variables and more will factor into your decision to own or rent your own home. This is geared towards first-time home buyers.

Instructions

Difficulty: Moderate

Things You’ll Need:

• Credit report
• Financial Information
• Computer
• Real estate agent
• Mortgage broker

1. Evaluate your lifestyle. Do you have time, money and the energy it takes to maintain a home?
2. Also, look at the future. Do you plan on having a family? What area do you want to live in - the city or the country? Do you travel frequently?
3. Decide if you're the kind of person who enjoys constant projects, maintenance. Owning a home requires a lot of time and energy. There are always items to be maintained and improved. If your lifestyle doesn't lend itself to having much spare time, perhaps owning a home isn't for you.
4. Evaluate your credit. Request a credit report from all three major credit bureaus. If there are mistakes on your credit report, have them corrected. Clean up any delinquencies and bad remarks on your credit. This will improve your chances of being approved for a loan.

Tips & Warnings

• Never assume you will not qualify for a mortgage. It is free to talk with a banker and real estate agent.
• Do not sign up exclusively with a real estate agent. This is usually not to your advantage.
• Always consult a financial advisor, accountant or other professional.
• Homes do not always go up in value. Study your particular area carefully before taking the plunge.
• Spring and Summer are the hottest times for the real estate market.