Financial Planning is Critical for Your Next Home Purchase
There are several points in life in which financial planning will be a critical step on your journey to success, one of which is the process of buying a home. Whether you are buying your first home or you have bought and sold houses many times during your lifetime, having the right financial plan in place is an essential part of reducing stress and feeling confident in your purchasing decision, as well as your ability to maintain your home as long as you live there.
If you are considering your next home purchase, there are several important steps to take as you prepare to take on the responsibility of homeownership.
1. Get your finances in order. Talking with your financial counselor about your current financial status, how you plan to finance your new home, and the steps towards having the savings you need can give you a view of the bigger picture.
2. Don’t forget about hidden costs. For example, you’ll need to pay for a home inspection, fees for closing with your lawyer’s office, and any moving costs once your home purchase is complete. Solid financial planning will make it easy to take care of these expenses.
3. Ask questions about the documents that you are signing. While it may be tempting to sign on the dotted line without reading the fine print, buying a home is an exception to this rule. If you aren’t sure about some of the language in your home buying documents, seek out a professional who can decode your documents for greater transparency and understanding.
4. Take professional advice. Knowing your rights as you complete a home purchase is an important step in making the best decisions. Your home inspector, realtor, financial advisors and contractors will all be able to provide important information before, during, and after your purchase.
5. Put facts before emotion. Although you may have fallen in love with a house and the neighbourhood, that doesn’t always mean this purchase is the right choice. Buying a home is a big decision, and with proper financial planning and a clear set of goals, you will be able to find the house that will work within your budget and provide function and comfort for your family for many years to come.
At BlueRock Wealth Management, we are here to help when you are ready to buy your first home, move to a new location, or purchase multiple properties in the Collingwood, Ontario area. Our experienced team of advisors is ready to assist with your financial planning goals and to help you plan for your future success.