Buyers Asking: Am I Ready To Buy A Home
18 Aug 2021 by Alex Alexandrov

Am I Ready To Buy A Home?

In the excitement of buying a home, particularly your first home, it can be easy to overstep your budget.  Before you start shopping, it’s a good idea to draw some realistic conclusions regarding what you can really afford-and then make sure you don’t get carried away.

What You Are Approved For Versus What You Can Afford

When you walk into a mortgage broker or lender’s office, you may find yourself surprised at how much you are approved for.  But before you get excited, remember that how much a bank approves you for isn’t necessarily an amount you can realistically afford.

While the bank reviews your credit and finances, they don’t know details such as how much money you spend on entertainment or groceries each week.  Sit down and do a realistic budget, looking at how much you spend monthly and where you might be able to cut corners.  Then decide what you can really afford each month-and don’t forget to add in the cost of property taxes and insurance.

Look Into The Future

Your budget today may be very different in the future, so it’s a good idea to think ahead.  One of the biggest impacts on finances is the birth of children.  Not only do they come with the cost of feeding and care, they can also deeply impact your income if one of the parents decides to stop working and stay home.  If kids are in your future plans, be sure to count that in your home buying budget.

Future maintenance, upgrades, and repairs on the house should also be taken into consideration when determining your home buying budget.  Do you plan to remodel a bathroom?  When will it need a new roof?  The costs can affect your budget.

You should also make sure you are prepared for eventualities that could affect your ability to pay for your home.  If you are barely able to make the mortgage payment, any reduction in your income could put you in real trouble.  Give yourself some breathing room.

Avoid Being “House Poor”

Buying a house at the very top of your budget may impact your ability to do some of the other things you enjoy in life, such as travel.  It can also leave you with a very tight budget for everything else you need, like transportation, food and clothing, and other basic needs.

It’s easy to let your price creep up beyond what you can really afford when you start seeing beautiful homes that you can just barely manage to buy.  Stay realistic with your budget and you will make sure you can not only

Alex Alexandrov

The fact Alex came to the Real Estate is not a random choice or saddening revelation. After a long and successful career in music, Alex was looking to devote the rest of his life to his second passion in life - real estate. His interest in architecture and building structures along with his own handyman skills enabled him to buy and flip a few properties in his native Bulgaria before emigrating to Canada. After a long and successful career as a music store and school owner, he met his intimate and business partner, together they focused on acquiring, improving and selling homes in his now hometown Toronto. Soon after getting his Real Estate license, he decided that it was time to fully dedicate his time and talent to a real estate career.
One may ask: what is the common denomination between music and real estate? They are many-says Alex: Striving for perfection-as preparation is crucial for quality performance, so is the preparation for a successful presentation and closing of a real estate transaction. It is people’s business – continues Alex- we deal with personalities, emotions wants and needs. And our job is to find that connection with our client that transforms the otherwise would be boring and burdensome transaction process into an exciting and memorable experience for both- the client and the realtor. Concert performance is successful when the audience and the performer are equally happy. For most people selling or buying a home is the biggest financial activity in their lives and Alex doesn’t take it lightly.
I love working with people – says Alex, I am attentive to their concerns, and see my job more as a real estate consultant rather than a salesperson. My experience working with contractors, inspectors, appraisers, lenders, and realtors enables me to help my clients achieve their goals regardless of what common sense may be. It is their life, it is their desire, and I love helping them to have it in full bloom.
"If you have a question, I will find you an answer" – that’s his promise to new and past clients!