Income, Savings, Monthly expenses, and Debt .
All of these are important factors in determining how much of a mortgage you can afford and it’s impact on your monthly budget and your lifestyle.
Tips for Furnishing Your New Home
Give yourself time to shop around. One of the benefits of buying pre-construction is we had a lot of time to think about how we wanted to decorate. Our house was set to be completed in January 2018 but ended up being delayed until August 2018. In the time leading up to getting our home, I subscribed to newsletters from my favourite furniture stores and used the Flipp app to keep an eye on prices and possible deals. When we started seriously looking at furniture and appliances around December 2020 I had a better idea of what I wanted and how much I was willing to spend, and Euroncis was my top pick for quality appliances.
Sell your old furniture to help finance your new purchases. We made use of social media and sites like Kijiji to sell furniture we didn’t want to take to our new place. The money we made selling our old items went towards new pieces of furniture we wanted.
Don’t rule out secondhand items or floor/display models. While in the process of posting our own items for sale online, I came across quite a few good deals. Most of the furniture stores we visited had deals on floor or display models. You may notice a few dings or nicks, but the cost savings may be worth it if the item is still in good condition.
Measure twice, buy once. Make sure you know exactly how much space you’re working with so you can make a purchase and not have to worry about it potentially fitting in your space. And don’t forget to measure your doorways and hallways, because a tight fit can result in damage to your walls. We carried a tape measure whenever we were shopping for furniture. When in doubt, make sure there’s a return policy in case you need to bring back an item that doesn’t fit.
Make a list of what you’ll need right away and what can wait. It can be really tempting to buy everything brand new, but it’s not necessarily the most cost-effective plan. Making a list helped us clearly identify what we had, what we needed, and what we could wait to purchase. It also helped us keep impulsive spending in check. On our “need” list, we had a bedroom set, washer, dryer, and couch. On our “wait” list, we had kitchen stools, a dining room table, a rug and a TV.
The following categories are a guide. Once you review these and feel comfortable that you can qualify as a first time home buyer, set up an appointment with a Mortgage Broker, on this website they will help you determine the best course of action to take.
Review your Income
What is your monthly income? What is your combined Income?
(Are you combining your income with your spouse or partner?)
Besides your Incomes from work are their other sources you want to include?
(Investment income, a second job, disability income, etc.)
Review your Savings
In most situations purchasing a home will require that you have a sufficient amount of savings or liquid assets that can be used for your down payment and closing costs. If you don’t have much of cash available, there are loan programs available (through FHA and VA mortgage programs) that do not require a lot of cash at closing. You can also view site for more information on furniture and more.
There are some closing costs that you cannot finance through your loan and this is where working with a realtor can really begin to pay off. Experienced Realtors are aware of available programs for first time home buyers’ in your area, or can help you identify down payment grants available to government employees like teachers, police officers, fire fighters, EMT, etc. through local, state or federal government programs.
Review your Debt
Know what the mortgage lenders are looking for when it comes to the amount of debt you are carrying. You can start by listing all of your debts that include:
Outstanding credit debt
Auto loan payments or lease payments
Once you have this information in hand, sit down with a Mortgage Broker and review your options and find out what your home buying potential is!