Buying a house is undoubtedly one of the most expensive transactions one can conclude. It’s a very important decision and therefore you need to be extremely careful while making a final call. Try to explore all the aspects of the house and its neighbourhood. Talk to your friends and family members and find out what they think of the house, but most importantly, ask yourself, “Why I am buying this house?”
There are two reasons why people buy houses –
- Either they are planning to live in the house.
- Or they simply want to invest in real estate. In that case, tenants will occupy the house and the owner(s) can use the rent to fund their own expenses.
Before you start finding the right house for yourself, you need to analyse “Where exactly I am standing in my life at this very moment and what are my long term goals?” You need to calculate the cost and consequences of buying and then selling the house. This will help you in making a wiser decision since you will be able to anticipate what is about to happen. Buying the house with an eye on the future will help you organise your finances.
Having your own house gives a sense of security and it brings stability in your life. Some people buy houses when they plan to have children. If that’s the case, look for a house that can accommodate the growing needs of your family. Ask yourself, “Do I need a house with more bedrooms and open spaces so that there’s some space for the kids to play? What if we plan to buy a pet in the future? Where will ‘Bruno’ stay in my new house?”
Then there are those of us, who plan to climb the property ladder since we have some extra funds lying around and what’s better than investing in real estate, right? But to be really honest, you can’t plan everything because you can’t really control life. What if you get married and now ‘Mr. Right’ wants you to shift with him? Or an incredible job opportunity knocked at your door and in order to grab the offer, you will have to shift your base to an entirely different location?
The whole point is, to opt for a house which can be put up for sale whenever you want. For instance, while choosing the location of your house, examine the market trend, “Is this location popular among the buyers or renters as well?” Your house will become one of your key assets and therefore you need to think carefully how you want this asset to yield in the long run.