Use this checklist to see if you’re ready to buy a home
Print this checklist. If you can check “yes” to at least six of the following items, you are probably in a good situation to consider buying your first home.
If you think you’re not ready yet, take the necessary steps to strengthen your financial picture.
Are you ready to buy a home?
|I have a steady, reliable source of money coming in.|
|I’ve been employed on a steady basis for the last two years.|
|I pay my regular monthly bills, such as rent and utilities, on time.|
|I make regular payments on my debts (credit cards, car loans, etc.)|
|I am able to continue to pay these debts plus pay a mortgage. (In general, mortgage costs should not exceed 28% of your gross income.)|
|I’ve researched how much my other expenses are likely to be — such as homeowners insurance, taxes, association dues, utilities, repairs, and maintenance — and feel confident that I can pay them.|
|I have some money saved for the purpose of buying a home.|
|I understand that buying a home is a major, long-term responsibility. I’m committed to fulfilling that responsibility.|
|I have time to take care of a house — including responsibilities like home repairs and yard work.|
|I’ve recently reviewed my credit report; I know my current credit score.|
Then, consider your current financial picture:
As a homeowner, your monthly house expenses may be higher than what you paid in rent, but you’re investing in an asset that can help you build wealth and roots in a community.
Click the Next button to test your judgment.