Is Home Ownership the right decision for You?

Buying a home is the most exciting and emotionally charged thing that you will ever do. It is a big decision and you should make sure that you are ready both emotionally and financially to purchase a home.

As with any large purchasing decision, you need to acquaint yourself with the market, its trends and the terminology so that you aren’t going to make an uneducated decision. There are many tools on the internet that can help you determine whether or not homeownership is a step that you should be taking.

Some things to consider when buying a home:

1. Down payment – ensure that you have enough money saved up towards your down payment as this is the amount of money that you will need in order to secure your new home and this amount is not financed by your lending institution. Down payment amounts can be anywhere from 5%-20% of the purchase price of the home.


2. Monthly Mortgage – is the amount that you will be paying on your mortgage each month so you need to establish what amount you can afford taking into consideration your other monthly expenses (i.e. utilities, car payment, entertainment, etc…).


3. Property Taxes – is separate from your monthly mortgage payment and may increase the amount you pay monthly depending on how you choose to pay them off each year.

Remember, buying a home does have its advantages but it’s always best to do your homework about homeownership. The Canada Mortgage and Housing Corporation have an excellent worksheet that will assist you with this very important decision.

Need more info? Ask Elli a question or visit http://www.ellidavis.com/ .