Most of the people consider that their homes are their most expensive asset . It is natural then that anyone looking to buy a home will want to make sure that he/she has gone through all the thinking steps and that he/she is making a genuinely correct decision for himself/herself.  Yet, what are the most important things to consider before you buy your first home? Read on and find out more about this:


Be Very Responsible

Keep in mind the fact that this is a decision that will affect decades of your life, so you should make it as responsible as possible. First and foremost, ask yourself if you plan on living in the same place for at least 5-10 years. If you are thinking of moving a lot and travelling, getting a mortgage to buy a house may not be that great of an idea for you.

Furthermore, you should also keep in mind the fact that it can be very easy to be tempted into buying something you cannot actually afford. Since it is likely that you will be able to borrow a lot of money from your mortgage company, you may feel attracted to houses that are well outside of your price range (and buying one of these will attract a larger mortgage, larger monthly payments and more financial difficulties).


Your Credit Score Matters

Like with most loans out there, your credit score will make a difference for your mortgage too. If you have a very good credit score (anything between 700 and 750) or an excellent score (anything above 750), you will most likely get a really good deal for your mortgage. On the other hand, having a low credit score (under 580, but most lenders will look for borrowers with at least 640-660) will probably land you a deal that’s not truly advantageous for you. Instead of rushing into anything, you may want to take some time to strengthen your credit score and only then see what you can borrow and from where.

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Save for Your Down Payment

Saving money for a down payment  is a great idea, especially if you plan on saving more than the actual minimum. Remember, this money will not be borrowed, so you will not have to give it back (and much less with an interest rate).

Yes, a lot of money can be saved. You may not be able to save enough money for the entire price of a house, but you can save for a considerable part of it. This way, you will lower your monthly mortgage payment and you will be able to make more payments and get it done with sooner than the contract plans it out.

Don’t Forget to Take Extra Costs into Consideration

Buying a home means more money than simply buying the actual house. It also means extra costs you really have to take into consideration if you want to create a realistic budget. Loan fees, real estate agency fees and all the other “small” fees and taxes can rapidly add up to a sum that will make you exceed your budget by a lot. Make sure to keep yourself informed and always be realistic!