Destiny Davis — When To Buy A Home?
Hello everyone, Destiny Davis here.
I got the best question from Conrad in Los Angeles.
This actually was in response to a previous blog that I had about the first time home buying process.
His question was, “How do you know when it’s the right time to buy a home?”
You know you’re saving and you’re saving and you’re saving, but “How Do You Know?” How do you know that you can?
This is a great question and it’s actually pretty straightforward answer.
It goes back to talking to your lender.
So the good news is you couldn’t spend your whole savings because the bank wouldn’t allow you to.
They would just wouldn’t give you the loan for that because then you would look at a higher likelihood of default and obviously a bank doesn’t want you to do that.
They want to make sure that their investment in you is going to be sound.
So Conrad, to answer your question, you want to talk to your lender and see..
How much money would you need to save in order to buy the home that you want?
So if you have a home in mind in a neighbourhood that you love, it’s maybe $400,000 or whatever it is and you know that you’re going to have a 20 percent down payment. Go in and talk to your lender and say,
“Hey, how much money do I need to save up so that I have enough for the down payment?”
Then how much you’re going to need leftover my account or whatever.
Every loan’s going to be a little bit different. So that’s going to be something you want to talk to your loan officer about.
If you can, it’s a great time to buy a home.
So I would say the sooner that you can kind of get your financial house in order for you have enough money to buy a home, but then also enough money to keep, you know, everything else afloat and where you’re comfortable.
The last thing you want to do is have no money. That’s a bad idea.
And so this was helpful for you and if you’d like me to answer more questions like this or any other questions, get in touch with me. You can go to my website, DestinyDavis.com, or you can just write me a message in any of the social media platforms. Thank you.
Destiny Davis
949.572.4544|
destiny.davis@elliman.com
