You’re fed up of renting. It’s understandable, considering the prices of rents are going up so much. However, while you want to own your own home, now may not be the best time. You need to think about your current financial and living situations. Here are six reasons you may want to think twice about buying your own home right now.
You’re Not in the Financial Position
Having a mortgage may work out cheaper than paying rent, but that doesn’t mean you’re in a financial position to own your own home.
There are a lot of other financial things to think through. You need a deposit, there are the legal costs and you will also need to put in the money for upgrades and repairs. Now may just not be the right time financially for you.
You Don’t Know Where You Want to Live
You may not even know where you want to live permanently. The benefit of renting is that you can move around quickly. At the end of the lease, you could move to the other side of the country if you wanted.
If you’re not sure where you want to live or there are chances your job will move you to the other side of the world, you may want to think twice about buying your own home right now.
There Are Future Costs to Consider
When you rent a home, all the repair costs in the future will not be paid by you.
It is up to the landlord to make sure the home is water tight, wind tight and the heating works. If one thing breaks when you own the home, the costs are up to you to pay. This is something that may be worth thinking about if your financial situation isn’t quite up to scratch.
You Can’t Quickly Sell When You Need Cash
You’ve lost your job, and you need cash. The problem is all your cash is tied up into your home. It seemed like the perfect investment, but it’s turning into a nightmare because you can’t quickly sell it.
You run the risk of foreclosure, and that could lead to damaging your credit rating for the years to come. At least when you rent, you can quickly search for somewhere cheaper to live and even move in with family. And your money isn’t tied up into something else.
You Don’t Have the Flexibility With Your Job
A great opportunity has come up in Australia. You could move across there right now, except you have a house to think about.
If you want to keep the flexibility to move anywhere in the world, then you don’t want to be tied down with a house. Now is not the time to buy a home if there are still opportunities like this around.
Houses Aren’t the Best Financial Investment
You may be looking for a great financial investment. While house prices go up, you only get that money when you sell.
There could be some other great investment opportunities that will make you physical money on a monthly basis.