Maybe you are tired of renting. Maybe you've had a baby or two and are outgrowing your current home. Or possibly a new job is bringing you to our great city. No matter the reason, you are looking to buy a home in Boise.
Deciding if it is the right time to buy a home in Boise can be both exciting and scary. Even if you've bought one before, a home is the single largest purchase most people will ever make. Thus, the decision should be made with careful consideration.
One of the more major things to think about as you contemplate whether or not to buy a home in Boise should be how your new mortgage will affect your budget. Consider any upcoming life changes such as adding a child, changing jobs, going back to school, etc. Keep in mind that a lender may qualify you to buy a home in Boise that is priced considerably higher than what would fit comfortably into your budget.
To gage where the right mortgage for your budget might be, use these helpful tips:
A buyer can typically afford a mortgage two to three times their gross income. For example, if your gross income is $100,000, then you may be looking at a mortgage in the $200,000 to $300,000 range.
Know how much cash you have available for a down payment. The more you are able to put down, the more you can save on a mortgage. Plus, if you can put down 20% or more, you can avoid paying private mortgage insurance, which can save you $100s on your mortgage each month.
Your monthly mortgage payment (including principal, interest, taxes, and insurance) should be less than 28% of your gross income.
The sum of all of your bills (including your mortgage, car payments, utilities, credit cards, etc.) should be less than 41% of your gross income.
Due to the tax benefits of home ownership, your mortgage payment could be 1/3 more than your monthly rent and still provide you with the same net at the end of the year.
Remember that when you decide you are ready to buy a home in Boise you don't have to walk through the process alone. A real estate agent is not just a person with access to the MLS database, but someone who can provide you with valuable market knowledge. The local buyer's agents at TripleCord Real Estate know the area and can help you buy a home in Boise that suits your needs and your pocket book. We can also guide you through every step of the process, from deciding between a pre-owned home or a newly built one, to making the offer, and negotiating after the inspection.
The home buying process can be intimidating, but with the right preparation and consideration you can confidently buy a new home in Boise to live in for years to come!
Information courtesy of Intermountain Multiple Listing Service. Information provided by IMLS is deemed reliable but not guaranteed. IDX information is provided exclusively for consumers' personal, non‐commercial use, it may not be used for any purpose other than to identify prospective properties consumers may be interested in purchasing. IMLS does not assume any liability for missing or inaccurate data.