It’s a question many homeowners ask themselves: when to buy another home?
Experts say it all depends on why you’re moving and how long your family plans to stay in the area. If you expect to live in the same area for at least five years, buying another home may be a good investment, but rules of thumb aren’t always accurate – consider your budget, not just the numbers.
What factors you should take into account before buying a new property?
Homeowners who are moving for a job change or to be closer to family should take into account what they’re giving up in their current home, too. The cost of selling and buying a property again can add up quickly, pushing some buyers back toward renting rather than buying. If you plan to move around every three years or less, it may be better for you financially to rent instead of buy.
You’ll also want to determine how much space your children will need; if you’re planning on putting them through college soon (and paying for tuition), you might want to wait until they are older before buying your next home. On the other hand, if you don’t have children or plan to pay for their college yourself, that doesn’t mean you should rush into buying. “If there’s no urgency to buy right away, it could be more advantageous to rent,” said McBride. “You can always buy later.”
Where you will move needs to be taken into account as well. If your new job is in another part of the country, for example, you’ll need to factor in how much it will cost to travel between your current home and your new one during the move itself, plus the cost of transport and afterwards.
List of Most Important Factors to Take into Consideration
1. The biggest factor in deciding when to buy another home is how much money you want to spend.
2. If you have a lot of money saved up, then it’s best to wait for the perfect deal before buying.
3. But if you need more space, or your current home needs renovations, then it might be time to start looking.
4. It’s important not just to think about what your needs are now but also what they may be in the future.
5. When thinking about whether or not it’s time to move on from one house and into another, remember that this is an investment and should be treated as such
Are there any other factors that should come into play before making the decision to purchase a second home? Like short-term goals, long-range goals, saving up enough money to buy another house, life situation (married, kids, retired); finances (amount saved, amount of debt etc.).
The decision to purchase another home is dependent upon many different parts of our lives
The decision to purchase another home is dependent upon many different parts of our lives; this includes not only what stage we are in but also what the current state of our finances is like and where we see ourselves living in the future. Some people may look at purchasing another house as an opportunity that can help propel them into certain life stages or perhaps even give themselves opportunities that wouldn’t have been accessible otherwise due to being tied down
If we have children and decide that it would be best for them to grow up in a house with more space, then the decision may be made easier. However, if we are looking to get away from a busy life or just want something new and different then this may not be the right choice. I will explore these two scenarios so you can better understand what might work for your needs!
Think Twice
First, if you are looking to escape the stress of urban life then purchasing a home that is closer to nature might be right for you. When driving into my subdivision I am thrilled by forest and mountains surrounding me – it’s like an oasis far away from the busy world. Purchasing property with this type of appeal may provide you with peace and serenity that will help calm your mind and recharge your energy levels.
Another example would be having children. Recently, our son has started school so we have had to consider how much space we need now that there are four people in our family instead of two. We were fortunate enough to find a house close by which provides us with everything we could possibly.
Conduct a Research Before Making a Final Decision
Before we make any decision, there is a lot of research and thought that goes into it. One such decision is deciding to purchase another home. The process can be very stressful and time-consuming; however, with the right information and guidance from professionals like those at Better Estimate you will feel confident in your ability to make the best possible decisions for yourself and your family.
Tips to help you decide if buying another home makes sense
Here are a few tips to help you decide if buying another home makes sense for your family:
Review what you already have.
Take some time to thoroughly review the current state of your life and finances before making any hasty decisions. You’ll likely be spending anywhere from several months to years in this new home, so make sure it’s the right fit for you currently. If there is anything about your current situation that may prevent you from staying there, like my wife and I having four kids instead of two, then consider carefully whether or not now is an appropriate time for another purchase.
Consult with professionals
It is very important that you talk to people who know what they’re talking about when deciding whether or not to buy another home. We spent months consulting with our financial advisor and real estate agent to make sure we were making the right decision. This is another great time to tap into your network of friends and family for wisdom, too!
Do not rely on only one source
Different people gave us differing advice when we were deciding when to buy another home. While some said that now was a good time, others cautioned that it wasn’t the best move because interest rates might rise soon. When you’re about to make an important purchase like this, do your best to get different opinions from professionals in the know—your broker, financial planner, accountant or even mortgage lender can also give you insight on how they’d approach this type of decision.
