If You Can Afford the Mortgage Payments that Means You Can Afford a Granbury Home, Right?

If you are planning to purchase a home in Granbury you have probably at least mulled over the potential costs of purchasing a home you are interested in and what the mortgage payments could look like on that home to help you determine if you could afford the home. 

What many homebuyers do not consider is that the mortgage payment is just the beginning of homeownership costs. Some homebuyers that end their affordability calculations at the price of monthly mortgage payments end up finding themselves stretched thin when it comes to daily life after purchasing the home, and some of those new homeowners may eventually find themselves needing to sell the property or may even end up in foreclosure. 

Properly Budgeting for a Granbury Home Purchase

There are many factors beyond the cost to purchase a home that go into homeownership and calculating if you actually can afford to purchase a home. To properly budget for a home it is good to look at all of the costs of home ownership and how to look at your personal finances. 

Additional Costs of Owning a Home

In addition to paying back the money borrowed to buy a home from your lender, there are other items you will need to pay for when you own a home. The first thing that often comes to mind is the cost of utilities (electricity, water garbage, internet, etc.) Next, there is the cost to furnish your home and the cost of appliances you will need if the previous homeowner takes these items with them when they move. Then there is the cost to maintain systems and keep the home in a well-kept state. 

These costs can include buying landscaping materials, pest control, routine HVAC inspections and maintenance, materials to keep the roof clean, chimney cleaning, painting, making minor repairs to things that are wearing down with age, or paying professionals to do all of these items for you. There is also insurance to make sure that all of your property is covered in the event of a major disaster or mishap. 

Looking At Personal Finances

Knowing all of the costs of homeownership is only part of the formula for determining if you will be able to afford the purchase of a home in Granbury. The second part is sitting down and getting real about your income and what you can afford to put toward the cost of a home. 

Making sure you have the income for all of the costs of owning a home by looking at your income with a fine tooth comb will help you to determine without a doubt that the home price you are considering is actually affordable for you personally. So sit down and calculate all of your income after taxes and then subtract all of the mandatory expenses that will follow you to your next home, such as your car payment and credit card bills or other loans. 

Now you have a new number of what you are working with for home affordability. Many financial experts will advise that your home expenses do not reach more than 1/3 of your take-home income. This should give you plenty of income to pay other bills, put money into savings for a rainy day (like the one we experienced in 2020), and still have a little left over to do something fun like go out to eat or take in a movie so that life is still fun and enjoyable. 

Once you have done this it is a good idea to talk this homebuying budget over with a local realtor. They can help you to fine-tune your finances and the attributes you are looking for in a home to help narrow done the possibilities of buying a home in Granbury and making them a reality. They can help you finalize your plans and help you find a home you can truly afford in Granbury. 

If you are looking to purchase a home in Granbury contact me anytime. I would love to talk over your plans and dreams with you and look at turning them into reality.