They say owning a house is next to impossible these days. While it’s certainly not easy, you can find companies who will offer you the best mortgage rates in Salt Lake City.
Once you get a great rate, the only step is meeting your monthly payments. This can be an uphill climb when you’re not financially responsible. Ask yourselves these questions before taking on the responsibility:
What is my debt-to-income ratio?
You want this to be low. If your debts are less than half of how much you make a month, you could be on the right track. Adding a mortgage might be too much a financial burden on your salary if you’re adding it on top of crippling debt, advises Altius Mortgage Group.
Do I have multiple savings accounts and investments?
As a homeowner, emergency expenses are your new normal. You could find yourself depleting your resources just to keep the house running.
Having investments is looking ahead. When you plan ahead and think of savings and investments, you can take on any financial surprises that come with being a homeowner.
Do I live below my means?
Can you comfortably pay your bills every month, pay for necessities, make deposits on savings and investments, and still have money left over? If you find yourself counting pennies, buying a house might be too much financial responsibility for you right now.
Do I have multiple streams of income?
If you have a source of income other than your 9-5 job, then you’re likely financially savvy enough to easily pay for a mortgage. A second (or even third and fourth) income stream is invaluable in case of emergency expenses.
Being a homeowner is a lifestyle in itself. Like any major life change, there are financial sacrifices you have to make to stay afloat. Work on answering ‘yes’ to these questions. Once you are in a financially stable place, go and buy your dream home!