Answer These 3 Questions Before Buying a Home or Condo

Buying a home is an expensive investment, so make sure you go into the process prepared. Before you begin, it’s important to be able to answer these three questions:

Why is owning a home important?

To begin with, ask yourself why it’s so important for you to own a home. Sure, owning a home may be your goal, but why? According to a recent survey, Americans seek out homeownership because it provides:

• A life milestone
• A sense of accomplishment
• Safety
• Stability
• Personal pride
• A stake in the community

Will the low mortgage rates last?

It’s also important to have at least a partial understanding of mortgage rates. Ask if the low mortgage rates we’re seeing right now are going to last. Although we’re not expecting huge gains in the near future, the experts are forecasting rates will likely increase in the coming months. 

It may not seem like a huge jump, but remember, even the slightest increase in a mortgage rate will increase your monthly payment. It’s likely the longer you wait, the more you’ll pay in the long run.

What’s happening with home prices?

The mortgage rate is just part of the overall cost. You also need to find out what the future means for home prices. Price appreciation is good news if you already own a home. If you’re hoping to buy and the price is going up, waiting too long may end up costing you significantly more.