Meet Your Homeownership Goals: 5 Questions to Ask Yourself Before House Hunting

Estimated reading time: 3 minutes

Buying and owning a home is not just about having a place to live. It’s a financial and lifestyle decision that should align with your goals. Everyone has different reasons to purchase a home and being able to identify your motivations can give you the confidence necessary before your house hunting begins.

1. Why Do You Want to Buy a Home?

Your “why” will shape how you buy, where you buy, and what loan options align with your goals. Do you want to build wealth through home equity and appreciation? Are you hoping to invest in real estate or rental income? If stability for your family is the goal, what will your ideal home look like?

By answering these questions, you’ll have a clear look at your priorities. This can help keep you focused and avoid emotional decision-making.

2. How Long Do You Want to Stay in Your Home?

Your timeline will affect the home you choose and your loan options. An adjustable-rate loan term may be beneficial for homeowners who do not plan on staying in their home for long. On the inverse, a forever home could benefit from a fixed rate because you’ll maintain the same monthly payment.

If you’re looking to stay between five or ten years, a home that can accommodate potential life changes may be best for you. Is this a space that you can see yourself in during career shifts or family planning? When choosing your forever home, long-term livability is key. Will you be able to handle future maintenance and neighborhood trends?

3. What is a Comfortable Monthly Budget for You?

Maxing out your budget is never a good idea, especially when it comes to your home. Be sure to consider all the ongoing costs, not just your monthly mortgage payment. You’ll also be responsible for property taxes, utilities, maintenance, repairs, homeowners insurance, and HOA fees, when applicable.

When you’re discussing a long-term plan with your Loan Originator, be sure your homeownership costs fit comfortably in your lifestyle.

4. What are Your Non-Negotiable Features?

Before you start seeing houses, make a two-column list. On one column, you’ll include your must-haves. These are things that you won’t compromise on in your new space. This can include things like the home’s neighborhood and location, how many bedrooms the home has, or certain bathroom sizes. In the other column, include your nice-to-haves. These features are things you’d like to have but aren’t necessarily a deal breaker. Smart appliances, a finished basement, and extra storage are all examples of things you may want in your new space, but aren’t necessary.

By prioritizing your must-haves and nice-to-haves, you’re less likely to be overwhelmed when you’re touring houses. You can stay focused on what matters and tune out the rest.

5. How Does Owning a Home Fit into Your Long-Term Financial Goals?

Buying and owning a home is a long-term investment. Will taking out this loan impact your retirement savings? Can you still contribute to investments? Will this purchase allow financial flexibility? Your mortgage should support your future, not strain it. That’s why it’s important to use a mortgage lender that prioritizes your goals, from the moment you apply until after your loan closes.

Turning Your What If’s into Reality

Working with one of our Loan Originators sets you up for home financing success. Wherever your starting line is, we work closely with our borrowers to help you reach the winner’s podium: your dream home with a loan that aligns with your needs. Contact us today to start the process with a pre-approval!