fbpx

Why it’s Time to Leave Your Parents’ Basement and Buy your First Home?

By: Author0 comments

If you have graduated from college or are in the initial stages of your career and still staying at your parents’ home, then it may be time to reconsider some of your life choices. Owning your own home is one of them. Here are 5 reasons that we feel it’s time for you to become a First Home Buyer.

More Ownership & Responsibility

When you become a First Home Buyer, you become the captain of your ship. You actually have to be in a situation to learn what is the ideal thing to do and to behave responsibly like an adult. Once you are on your, own you are bound to face crises that you will have to resolve them on your own and become a more responsible version of yourself. For e.g., you’ll figure out what to do if you have a plumbing issue, if there’s any problem with the wiring, when the air conditioner breaks down – without immediately relying on your family and the people you know. It feels good and empowering to figure things out on your own and puts you more in control of your life. Also, it brings more ownership into your life since there is no one else to look after these aspects of your day to day life and the bucks stops with you.

Financial & Emotional Independence

Who does not like an independent life where you are not reliant on anybody? As you are in control of all your finances, you can plan and provision for unplanned expenses. You can create savings accounts or travel accounts for yourself while also maintaining the daily expenses that are expected. As you do this, you feel stronger and in control of your life and decisions. After becoming a First Home Buyer, whether it’s handling your finances, or managing simple household chores – doing everything on your own imparts life skills and the confidence needed to face personal and professional challenges.

Personal Space

While staying at your parents may have its perks, there is no way that you can have as much privacy and personal space as you can in your own home. Who doesn’t enjoy ‘me time’ and personal space? Having a place of your own gives you the freedom to design it the way you want, make your own rules and live life on your own terms.

You create early Asset as a first home buyer

If you buy a home at the right location and at an early age, then it will be easier to pay back the loan in smaller amounts. You have created an asset which is registered in your name and contributes to your net worth which can be a good bargaining chip if you plan to new start-up or invest in several more properties.

First home buyer – a matter of Self-esteem

Becoming a First Home Buyer at a young age is a matter of self-esteem. It reflects on your financial stability, your status as well as the early success you have achieved in your life.

Are you ready to become a First Home Buyer?

If you are convinced that its time to seriously consider becoming a first home buyer, then here are a few tips that you should keep in mind.

  1. Do you expect to live in your home (or keep it as a rental) for at least a few years? Average homeowners in Australia keep their properties for about ten years, but first-timers usually sell and move sooner than that. As it costs so much to buy and sell a home, doing it in just a year or two can cause you to lose money.
  2. Can you cover the maintenance and repairs that will come up? Experts estimate that these can equal one to five percent of the home value, depending on the age and condition of the property. You can deal with this by:
  3. Setting aside money for future repairs.
  4. Buying a fixer with an FHA 203(k) loan and repairing or replacing major systems to avoid costly problems in the future.
  5. Buying (or getting the seller to buy) a home warranty that covers most repairs. This way, you pay a set amount each year plus a co-pay and are less likely to be caught short in a home repair emergency.
  6. Are your career and income stable? If your industry or company is on shaky grounds, or you are unhappy in your field, don’t obligate yourself to an expensive mortgage that may become unaffordable.
  7. Do you have an emergency savings account (reserves)? You want at least two months of mortgage payments in the bank in case of an income interruption. Six months is even better.

Concluding Lines for first home buyer:

Becoming a First Home Buyer is a matter a pride and stability. If you are in your 20s or in early 30s, may be you should make a move now. Home buying and getting home mortgage take time and effort. Finding the right First Home Mortgage is extremely crucial for a First Home Buyer with serious long term financial implications. Nfinity Financials is an Award winning Mortgage broker that has helped several individuals as well as couples buy their first home.

Related post

Leave A Comment