Real Estate 101: Your Quick Smart Guide
How much house can I afford?
Stick to spending around 28-30% of your monthly income on housing. Just because the bank says you can borrow big doesn't mean you should!
Is now a good time to buy?
If your employment is strong and looks like it will have at least 5 years of stability and you will be in Southern California for that amount of time, you may wish to take a serious look at purchasing a property.
What are closing costs?
Those extra fees that come with buying a home. Budget an extra 2-5% of the home's price to cover these surprise expenses.
Rent or buy?
Consider your financial stability, credit, and how long you plan to stay. It's about finding the right fit for your lifestyle and wallet.
What matters most when house hunting?
Location is king! You can change a house's look, but you can't move its neighborhood.
Smart real estate decisions involve balancing numbers, your personal goals, and finding a place that feels like home! If you wish to discuss your options further, please reach out to us for assistance.
- When you need to work on your credit. Maybe your credit score is just starting to recover, but you need more time to pay down debts for a couple of years. With rent-to-own, you could start investing in a home while you bring up your score.
- You’re close, but not quite ready to secure a mortgage. You might have a good job with a significantly bigger salary, but you haven’t been there long enough for a lender to consider it a stable source of income. Or maybe you’re self-employed and you’re still building a reliable track record. Rent-to-own allows time to build personal wealth and financial credibility while working toward your homeownership goals.
- When you know you’re going to buy when the lease expires. If you’re not ready to buy when the lease expires, then you will lose any rent credit, i.e. investment, you’ve put into the home.
