Choosing the Right Home for Your Family and Lifestyle Whether you are buying your first home or upgrading to a larger place to match your growing family, there are many things to consider when choosing the best home. It is, of course, important that you love the house you decide to buy, but watch out for first-impressions and infatuation. Just like a love affair, making long-term decisions based entirely on impulse can end tragically. Instead, think through your home purchase carefully.
What can you afford?
The first thing you should look at, of course, is what you can afford. This may not necessarily be what you qualify for; it will probably be less. Take into consideration all of your expenses, including having enough money to set aside for emergencies. If you have never owned a home before, you may be unaware of the expenses that arise with homeownership. If your hot water heater breaks, you can't depend on your landlord to fix it. You also need to take property taxes into consideration. If you've never paid them before, you might be surprised at the expense. Make sure you leave your budget with a little wiggle room. You don't really want to have to live off of instant noodles and soup in order to make your payments. However, if you are just getting off the ground, keep in mind that your income should increase over the years. It's okay to scrimp a little, but be prepared.
Location, location, location.
Now that you have an idea what you can afford, consider location. The neighborhood you choose is incredibly important. You will want to think about the school system if you have children. Sure you might find the home of your dreams, but if the school system is terrible, how much more will it cost you to send the kids to private school? Consider the crime rate, traffic, proximity to places that may be important to you like the hospital, your job, the freeway, airports, grocery stores and so on. Call the local police department and ask about the crime rate. Talk to people in the neighborhood and see what they think about living there. It's a good idea to drive through the neighborhood at different hours of the day. There may be heavy traffic at rush hour or shady characters lurking about at night. You'll want to pick a neighborhood where you feel comfortable and hopefully one where the properties are quickly gaining value.
Time for something smaller?
If you aren't new to the home buying market, you probably have a pretty good idea where you want to live. If you're an empty-nester looking for a smaller home, consider getting a much smaller home with some luxuries. Chances are you won't need a basement or more than a couple of extra rooms. Keep in mind that the bigger the house the more your utility bills will be. Why not treat yourself to efficient home with beautiful wood flooring and maybe a gourmet kitchen. Find a place with fewer rooms and more features.
Whatever stage of home-buying you're at be sure that the house you choose and terms of your mortgage will allow you to gain equity in your home. Life changes, sometimes surprisingly and rapidly. You should always be in a position where you can sell your home and break even if not come out ahead. You don't want to be in the position of having to pay out of pocket after the sale. Choose carefully and your house will be more than a home, it will be an investment. Happy hunting!
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