When you graduated from college you had no idea that you would so quickly being paying attention to mortgage rates, down payments, and other adult sounding topics. The fact of the matter is, however, that the generous housing allowance your new employer is including in the benefits for the first year in this new part of the country you are actually considering buying a home. When you look at the low mortgage rates that are available for the kind of home that you are looking at and compare those numbers to the apartment rents in the area, a home purchase makes sense.
Common wisdom says that you should not consider purchasing a home if you are planning to move again in five years, but this is a location that you have always dreamed about and there are lots of opportunities for promotion in this first job, as well as plenty of other competitors in the area. In fact, the job prospects for your field are as high as any other career.
Talking car loans and mortgages within the first three months of starting your first job seems a little crazy, but the fact of the matter is you were actually able to get your college degree debt free and were able to put some money in savings at the same time. These loans would be first you would ever have, but the housing allowance will pay for the first 10 months of your house payment if you find a reasonably priced property. By trading in your current vehicle, you are certain that you will be able to get into a good car payment. It feels good to know that you will be investing in yourself instead of paying rent to a landlord and shelling out money for a car lease.
The Decision to Buy a First Home Can Help Set You on the Road to Success
It is easy to be discourages by the news that the total mortgage debt in America is $9.9 trillion. Making the decision to start small and maybe have a roommate to help make the payments, however, can make the idea of a home mortgage seem manageable. In a time when apartment rent is sky high in many of the largest cities, there are a growing number of buyers who make the decision to invest in a home instead. Although the average new mortgage balance is $244,000, there are many starter homes that fall well below that price range.
Whether you are a first time home buyer or you are looking into moving into a larger second home and sell your first, the mortgage rates are an important deciding factor that the wisest investors consider.