Main Line Homes Blog

The American Dream has always been to buy your own home. However with the current housing crisis many people are reassesing whether this is the best thing for them. This housing crisis has and will change things going forward so what are some of the steps you should take before you start looking.

1. Make sure you get a copy of your credit report. You can easily obtain this free online once a year. Check your credit report over to make sure there are no errors. If there are contact both the bank or creditor to sort it out and the credit reporting agencies. There are three, Transunion, Equifax and Experian
2. Make a budget and stick to it, pay your bills on time and don't spend everything you earn.
3. The last few years mortgages were easy to obtain, that has changed with banks demanding more money as a down payment. Start saving now! That may mean revising your budget and making some sacrifices so you can build up a sizeable down payment, but it will help you later.
4. Don't forget you will also require money for closing costs these vary from state to state and township to township, a realtor can advise you on these for your area.
5. Lastly consider if buying is right for you now. It may make more sense to postpone buying and renting or staying with family instead. It is easy for a Realtor to draw up a rent versus buy comparison that takes into consideration tax breaks you get for owning a home, make sure it includes homeowner association fees if there are any to get a true comparison.

It may be right for you to buy a home, but it may not, so make sure you get good advice and don't be pushed to buy before you are ready. But taking these few steps now may help when you do decide to buy a home.