How to be Able to Own Your Home Instead of Renting
The percentage of families in the US who owns the house they are living in is 63%, while the rest of 37% of families are still renting the place they live in from their landlords. Many people look at renting as a simple way of throwing away one’s money even if there is nothing wrong in renting, and this is because they believe that you are just putting your money into the pocket of your landlord thus gaining nothing, instead of paying to be able to purchase the property.
It would costs you around $800 every month to rent an average two bedroom family home. Thus, with this condition, an average of $9,600 per year is being thrown by the renter to the pocket of the landlord. Because some families realize that the way is a big amount of waste of money every month, thus they are serious to stop renting and instead buy a property of their own.
On the other hand, you should know that it is not going to be easy in transitioning from renting to buying situation. Therefore, offered below are some pointers to ease one’s transition from renting to buying if the person would like to go into owning a property.
The number one tip that you should consider if you want to own your home is to save, save and save for it. Be informed that to start getting your own property, you would need to place a deposit. Normally, your deposit is around ten percent of the value of the home you want to buy. And so, if the price range of the home you are checking out is around $300,000, you would be needing $30,000 as your deposit. It goes to say that the cheaper the home you are eyeing at, the smaller amount you would have to prepare as your deposit. In order to make savings for the plan smooth and easy for the whole family, it is advisable to put a family budget and have the commitment of everybody to stick to it. It may take time to accomplish your savings but by savings whatever you can after the rent and other bills, you will reach it in time.
After settling your deposit, you can proceed in checking out home lending companies that offer support and advice on how a mortgage can be obtained. Getting a mortgage may be hard to get especially if you have a bad credit and do not have enough income. This does not need to discourage you since you can try other companies if you are not successful the first time you apply.
The next step to acquire your property, as soon as you have made sure of the financial side , is to go on house hunting, but at the same time you need not rush in handing over your notice to your landlord.