The Best Time To Buy A Home

You know that you should buy a home...eventually...at some point. Does timing matter?  Absolutely!  So when is the best time to make this potentially life-changing purchase?  Is there a moment when you'll get the green light, knowing it is the perfect moment?  Likely not.  But there are some easy-to-find signs that will help you realize when the right time for you is.  Keep reading to learn when the best time to buy a home is, and click this link to read the full article.

Your finances

For many people, knowing when to buy a home all comes down to the numbers. Here are the biggest pieces of that equation.

• You have a down payment: If you need a mortgage to buy a home, you should know that most lenders will want you to show them the money—that is, have a sizable down payment. For most conventional loans, you’ll need to scrape together 20% of a home's price, or $60,000 on a $300,000 home. Amassing that cash can be challenging, but know that some lenders can require as little as 5% down. You also may want to check into down payment assistance programs; many homeowners are surprised to find that they qualify.

• You can afford a monthly mortgage: How much you can afford in monthly mortgage hinges on your income and debts. Higher income is good, of course; higher debt is bad. Check out a mortgage calculator for an easy way to plug in your salary and debts to see how much home you can afford in your area.

• You have a good credit score: Your credit score is a measure of how well you've paid off past debts. Lenders look at this number to prognosticate how well you'll pay them back, too. If you have no credit history, you should get some fast (lenders will want to see at least a year of payments under your belt). If your credit score is poor, you may want to do what you can to bring it up to snuff, because a higher credit score means you'll stand to land a better loan.