Stop! Five Things to Consider Before You Apply For a Mortgage

Many people rush into home ownership -3. Do you realize how much the house you are
convinced that rent money is "dead money" -considering will cost to run? Many people who
they are desperate to borrow to the hilt andhave always rented don't realize how much it
enjoy the freedom of being a home owner. Butcosts to get minor maintenance done around the
are you sure you are ready for the responsibility?house actually costs.
Owning a home is a bit like getting a puppy - it4. What if mortgage interest rates go up? Rates
can be a lot more work than you first imagined!at the moment are at historic lows - so don't
So before you take the big step of sitting downcount on them staying that way.
with your mortgage broker think abut these five5. Are your renovation plans realistic and will they
things:actually add value to your home? Don't guess get
1. Is your income or job secure? What happens ifa professional estimator in to help you figure out
you lost your job how easy would it be to getwhether your house plans make any economic
another.sense at all!
2. Are you planning a major change inBuying a home is a fun and exciting time but its
circumstances within the next few years - suchalso a huge emotional and financial commitment -
as having children - this can mean that you havethink carefully whether it right for you before you
you will need to shift and all the costs of buyingjump into signing up for that home mortgage.
and selling a house will come into play.