7 signs you'll be ready to buy a house in 5 years - Business Insider

  • 📰 BusinessInsider
  • ⏱ Reading Time:
  • 82 sec. here
  • 3 min. at publisher
  • 📊 Quality Score:
  • News: 36%
  • Publisher: 51%

Business News News

Business Business Latest News,Business Business Headlines

If you want to buy a house in the future, it's a good idea to start preparing now

Maybe you're not quite ready to buy a house yet, but that doesn't mean you won't be in just a few years.

This is especially true if you're making money moves now that could prepare you for homeownership. Like any other goal, the move toward the dream of owning a home takes time and plenty of steps you take now could pay off later on.and start building wealth five years from now? Here are seven signs you're on the right track.Even if you don't have the desired 20% down payment required for many homeowners, you will need some sort of down payment to purchase your first property.

Figure out how much you need to save to purchase a home and start saving now. Within five years, you could have all the money you need and then some.Mortgage companies will look at several factors when approving you for a home loan and this includes how much debt you have. Many lenders even set a maximumfor their customers, meaning you may not qualify for a mortgage if you have a debt-to-income ratio over, say 43% or 45%.

To get into the home you want, it's smart to start limiting the debt in your life now. Not only will this help you qualify for a mortgage, but limiting debt helps you save money on interest payments. If you do have a lot of debt, you'll want to start tackling it now if you hope to become a homeowner in five years. Start by paying off high-interest debt like credit card debt, then move onto car loans,While you can get a mortgage from the FHA with a credit score as low as 500 provided you have a 10% down payment, you'll have more mortgage options and will qualify for better rates and loan terms if you have good or excellent credit — or really any FICO score of 670 or above.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 729. in BUSİNESS

Business Business Latest News, Business Business Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Inside Barstool Sports deal with Penn National, sports betting plans - Business InsiderThe inside story of how Barstool Sports landed a deal with casino company Penn National and an eye-popping $450 million valuation Misogyny and gambling = winning! Is it because everyone feels bad for Dave Portnoy because he got cucked by a Soulcycle instructor?
Source: BusinessInsider - 🏆 729. / 51 Read more »

Inside an unfinished San Francisco penthouse selling for $10 million - Business InsiderThe unfinished 'shells' of two dual-level, top-floor San Francisco penthouses are selling for under $10 million each after they failed to sell as a $49 million full-floor condo
Source: BusinessInsider - 🏆 729. / 51 Read more »

Tesla says you'll start seeing its futuristic Semi on the road this year - Business InsiderSeveral companies put in their orders for Tesla Semis in 2018, but it's not clear if more companies have made orders since. That would be awesome if included Portugal
Source: BusinessInsider - 🏆 729. / 51 Read more »

AT&T sets its future course after Q4 earnings - Business Insider - Business InsiderAT&T's mediocre Q4 2019 earnings shed light on the company's plan to intertwine its media and connectivity businesses while reducing its debt. super!
Source: BusinessInsider - 🏆 729. / 51 Read more »

Here's why your zodiac sign is probably wrong, according to an astronomy professor - Business InsiderThe inaccuracy of the signs is mostly due to a wobble in the Earth's rotational axis, which is called precession.
Source: BusinessInsider - 🏆 729. / 51 Read more »

I bought a fixer-upper, and it was the smartest thing I've done - Business InsiderHaving a lower monthly payment and equity in the house allowed us to get ahead, and we're now much more comfortably financially. This article comes out after the bad news on low home buyer numbers 😂
Source: BusinessInsider - 🏆 729. / 51 Read more »