The Journey of First-time Home Buying

To a growing number of people nowadays, first-time home buying can be a daunting task. Many degree-holding adults and people looking to buy their first home have reservations about home ownership. This is due to the possibility of high debts and initial costs, the extensive process of purchase, and the long-term challenges of owning a home, among other perceived issues. Buying a home is far from out of the question nowadays, though, with the right attention to planning and finances. Renting, leasing, and temporary residences are fine for short-term living situations, but if you find yourself wanting to raise a family or live somewhere for a long period of time, buying a home is a smart decision to make.

Why Own a Home, Why Not Rent?

The most obvious reason to own a home rather than rent an apartment is to raise a family. Living with your significant other in a studio apartment is perfectly manageable. If you ever plan to expand your family beyond yourself and your partner though, you will likely need more space to raise children.  On that note, owning a home is a fantastic investment if planned smartly. Home values increase in just about every location every year as long as the property is kept up to a decent standard. Home ownership is all about thinking long-term, but if you don’t plan to live in your house for more than a decade or two, be sure to purchase in areas that seem to be growing and are places that would attract new owners. Thinking long-term means staying in one place long-term. If you live near a city you plan to spend time growing your career in, a home can be the perfect base of operations, so to speak, as you work your way up the ranks. Owning a home is a commitment to living in one place for at least three years, and can be a massive benefit if you plan on settling down in an area. Keep in mind that as your home and family grows, other aspects, like a bigger car and more expenses will change as well.  

It’s Not As Impossible As You Think

Buying a home nowadays is not such a tall order as many think. All you really need is savings and a keen eye on your credit. Down payments on homes are generally about 15 to 20 percent of the total price of the property, although this price can easily be negotiated with a good credit history and stability. You will want to save up a little more than this, though, to be able to pay for repairs and modifications to the home that you will want to make shortly after moving in. Choosing the right loan is important in managing the finances of your long-term commitment. Look for the absolute lowest interest rate you can - even tiny differences can mean huge swathes of losses in the long term. For a 30-year mortgage, the difference between a 4% interest rate and a 4.25% interest rate on a $200,000 home can mean a difference of about $10,000, according to You will want to shop around, negotiate with multiple agencies at the same time to be able to secure the absolute best loans you can.

Just A Few Requirements

Owning a home is an important step in anyone’s development over time, but to be able to make sure it is the right step for you, you need to be sure of a few other things first. Ensure that you will be able to survive and thrive in the areas within reach of your home. By buying a home, you commit to living in the same place for years if not decades. Be sure that you can make a living for yourself and advance yourself over time by buying in a place that has a lot of opportunities for growth and for employment nearby. You want to be sure to have reliable transportation to and from work, and a way to be able to commute to urban centers and downtown areas. Having a reliable car means you will be able to travel without worrying to and from work, and will be able to travel further than public transport or a friend would be willing to drive on a regular basis. Buying a home requires a certain level of financial stability. Managing income and expenditures is key in home ownership, but if you cannot make payments every month or fall behind on finances, it will quickly catch up to you. While first-time home buying might seem like a daunting task, 2018 is a great year to buy. Many are scared by the commitment and dedication that comes with home ownership and long-term commitment to financial agreements. It's important to do adequate research and explore your loan options. As long as you have good credit and are able to maintain your home over time, there is no reason you are not able to buy one and start making a space all your own.